LCCI calls for broadening of tax base
- He said that government should take measures to broadening the tax net and encourage the existing taxpayers.
LAHORE: Lahore Chamber of Commerce and Industry (LCCI) on Tuesday urged the government to broaden the tax base by supporting and encouraging the existing taxpayers who were backbone of the economy.
Talking to media here, LCCI President Mian Tariq Misbah claimed that business community was not evading taxes, adding that business community was the main source of revenue for the government.
He was of the view that support to the honest taxpayer would broaden the tax net; help increase revenues of the government and put the country to path of sustainable economic growth besides controlling the inflation.
Mian Tariq Misbah said, “Once the tax base is broadened to the required level, the country will get rid of indirect taxes. Lahore Chamber has always advocated for enhancing the tax base instead of relying on indirect taxes,” he added.
He said that the FBR collected around Rs 2,473 billion in indirect taxes (Custom Duties, Federal Excise and Sales Tax) in 2019-20. The tax collection from indirect taxes was around 62 per cent of the total FBR's tax collection of Rs 3,997 billion in 2019-20. The major portion of indirect taxes came from Sales Tax, through which the FBR collected Rs 1,596 billion followed by Custom Duty Rs 626 billion in 2019-20.
The LCCI President mentioned that the Advisor to Prime Minister on Commerce had already assured business community that more indirect tax would be avoided.
He said that government should take measures to broadening the tax net and encourage the existing taxpayers.
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