ISLAMABAD: To end the policy of tax exemptions in the future, the Federal Board of Revenue (FBR) Chairman, Dr Muhammad Ashfaq Ahmed, said Monday that the FBR will present a new tax policy framework to the federal cabinet to bar ministries/divisions from proposing tax exemptions/incentives.
The FBR chairman disclosed before the Senate Standing Committee on Finance that the FBR has chalked out a new tax policy framework on exemptions. The policy would be taken to the Cabinet for approval.
Under the new tax policy framework, no ministry/division would be allowed to propose tax incentives to any specific company/sector etc. He added that the policy has been drafted to discourage the practice of tax exemptions in the future.
The FBR chairman further said that when we argue before the IMF for continuation of tax exemptions for investment and industrialisation in the country, the fund responded that if we agree with this argument then Pakistan should have been the biggest industrial hub of the world.
Copyright Business Recorder, 2022