Finance Min-ister Ishaq Dar Monday said one percent increase in General Sales Tax could only be withdrawn, if the finance committee helps the government generate Rs 60 billion, as the country is already facing resource constraint. Speaking during the meeting of Senate Standing Committee on Finance with Nasreen Jalil in the chair to discuss and propose recommendations of the committee members on the Finance Bill, Dar said the government can withdraw one percent increase n GST provided the committee helps generate Rs 60 billion.

Federal Board of Revenue Chairman Ansar Javed strongly opposed the proposal of the Senate Standing Committee on Finance to charge 10 percent additional tax from the banking sector. During review of the Finance Bill (2013-14) at Senate Standing Committee on Finance at Parliament House on Monday, committee members proposed 10 percent additional tax on banks.

The take-home salary of salaried individuals will be considerably reduced if the increase in charge for lower slab rates are not rationalised. It appears that while enhancing the rate from 20 to 30 percent on income exceeding Rs 7 million per year and doubling progressive tax slabs to 12 from six currently provided for; FBR did not work out the unfairness and did not properly asses, that due to withdrawal of concept of "marginal relief'' (introduced in Finance Act 2008 and amended further in Finance Act 2009) would play havoc with the family life of these salaried individuals.