Pakistan Businessmen and Intellectuals Forum's (PBIF) president and a former provincial minister Mian Zahid Hussain has urged the government to review eight per cent withholding tax imposed on the turnover of the services sector. He made this demand while talking to a delegation of Pakistan International Freight Forwarders Association (PIFFA) which called on him under the leadership of its chairman Asim Sayeed Khan.
The PBIF's chief was of the opinion that tax should always be imposed on income and not on the revenue. He said that the tax which seems `unjustified' will hurt imports, exports, revenue generation and job situation. Mian Zahid said that the controversial taxation measures have been hurting sectors like IT, certification, public relations, media management, advertising, marketing, telecom, ISPs, clearing agents, fleet operators, couriers, security providers, outsourcers, software developers, etc.
Terming the services sector `hard pressed', he said that the `unjust' tax would push many services sector's firms to wrap up their business. Mian Zahid urged the finance minister to help resolve the issue in consultations with all the stakeholders. Speaking on the occasion, Asif Sayeed Khan said that the taxation measures will increase the cost of doing business, thereby making services expensive. He said that since all their efforts to convince the officials have gone in vain, his association has no choice but to launch a protest drive from September 1.

Copyright Business Recorder, 2015

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