AVN 64.00 Decreased By ▼ -0.59 (-0.91%)
BAFL 28.99 Decreased By ▼ -0.26 (-0.89%)
BOP 4.01 Decreased By ▼ -0.01 (-0.25%)
CNERGY 3.45 Decreased By ▼ -0.03 (-0.86%)
DFML 11.59 Decreased By ▼ -0.11 (-0.94%)
DGKC 42.30 Decreased By ▼ -0.15 (-0.35%)
EPCL 46.22 Increased By ▲ 0.02 (0.04%)
FCCL 11.87 Increased By ▲ 0.01 (0.08%)
FFL 5.41 Decreased By ▼ -0.08 (-1.46%)
FLYNG 5.86 Increased By ▲ 0.07 (1.21%)
GGL 10.53 Decreased By ▼ -0.14 (-1.31%)
HUBC 67.20 Increased By ▲ 0.10 (0.15%)
HUMNL 5.40 Decreased By ▼ -0.02 (-0.37%)
KAPCO 24.02 Decreased By ▼ -0.03 (-0.12%)
KEL 2.09 Increased By ▲ 0.03 (1.46%)
LOTCHEM 25.58 Increased By ▲ 0.45 (1.79%)
MLCF 25.65 Decreased By ▼ -0.33 (-1.27%)
NETSOL 73.73 Decreased By ▼ -0.27 (-0.36%)
OGDC 83.55 Decreased By ▼ -0.30 (-0.36%)
PAEL 10.54 Decreased By ▼ -0.01 (-0.09%)
PIBTL 3.76 Decreased By ▼ -0.03 (-0.79%)
PPL 64.00 Increased By ▲ 0.20 (0.31%)
PRL 12.11 Decreased By ▼ -0.16 (-1.3%)
SILK 0.87 Increased By ▲ 0.01 (1.16%)
SNGP 39.00 Decreased By ▼ -0.30 (-0.76%)
TELE 7.51 Decreased By ▼ -0.18 (-2.34%)
TPLP 14.05 No Change ▼ 0.00 (0%)
TRG 104.70 Decreased By ▼ -1.07 (-1.01%)
UNITY 13.28 Increased By ▲ 0.18 (1.37%)
WTL 1.19 No Change ▼ 0.00 (0%)
BR100 4,028 Decreased By -7.1 (-0.17%)
BR30 14,284 Decreased By -48 (-0.33%)
KSE100 39,828 Decreased By -20.7 (-0.05%)
KSE30 14,770 Increased By 3.1 (0.02%)
Follow us

Finance Minister Asad Umar and his team on Saturday almost finalised medium-term economic framework of the present government, focusing on measures to bring about reforms in the economy with emphasis on growth in exports and revival of business, as it will be presented in the National Assembly on January 23. Sources in the Finance Ministry said that the meeting on budgetary mid-term economic framework was attended by secretary finance, governor State Bank of Pakistan (SBP), chairman Federal Board of Revenue, secretary Economic Affairs Division and director general Economic Reforms Unit.
When contacted, spokesman for Finance Ministry Khaqan Najeeb told Business Recorder that the government would present investment and export package in the National Assembly on January 23 that would help businesses through substantial reduction in cost of raw material for industrial sector. The package would also include measures to simplify the process and procedure as well as reduce cost of doing small and medium businesses.
Najeeb further stated the government would also remove anomalies in withholding tax for filers and non-filers. He further stated that package has been finalised in consultations with Ministry of Commerce and the Federal Board of Revenue (FBR) to revive industrialisation in the country, he concluded. The meeting continued for hours to discuss the broader contours of the finance amendment bill as the government has been struggling to mobilise tax collection of the FBR that is facing shortfall of around Rs 170 billion during the first half of the current fiscal year.
Sources said that senior officials of the Finance Ministry also held a meeting with the Members of the FBR - Inland Revenue and Customs and Operations - in the first week of the ongoing month to discuss projection of the tax collection for finance amendment bill and measures to realise the target. They added the government would also announces measures in the finance bill for compression of imports as the rising imports are a challenge to deal with the problems on external account as impact of previous measures was below the government's expectations.
Sources further stated the government's primary focus in the budget would be on high end earners to increase revenue collection and for this, targeted measures would be undertaken and some of the proposals under FBR's consideration are increase in sales tax on petroleum products, raise in excise duty on cigarettes, cement, beverages and vehicles (1800cc and above), increase in the rate of additional customs duty - from 2 to 3 percent - on imports across the board and further increase in the rate of withholding taxes for non-filers. However, sources said that the government may reduce the withholding tax on banking transactions for filers given the reduction in deposits of banks. There is also a possibility of standard 17 percent rate for a couple of sectors where lower rates or special tax rates are applicable.
The proposal to raise additional customs duty from 2 to 3 percent on imports may generate revenue while excise duty on commodities is also under consideration to discourage imports and mobilise revenue.

Copyright Business Recorder, 2019


Comments are closed.

Exports, business growth: mid-term economic framework finalised

Airports’ outsourcing: ECC approves draft TASA for hiring IFC as TA

Five killed in stampedes at flour distribution sites

SC bill hurriedly passed in Senate amid uproar

Polls delay case: SC forms new bench after Justice Aminuddin’s recusal

Probe into T-bill bids: Senate panel urged to direct SBP to assist CCP

Conditions specified: Punjab govt willing to take over Discos

Iftar, Sehri: PM orders uninterrupted gas supply to Karachi

Power from Thar coal projects: Nepra grills NTDC for not completing transmission line

Withdrawal of export power subsidy: Treasury MPs come down hard on govt

Properties’ lease: PIA owes cumulative Rs150bn to CAA, Senate panel told