Business community has termed Finance Supplementary Amendment Bill, 2019 presented in the National assembly by Finance Minister Asad Umar as good effort to mobilise business and industrial activities in the country under present circumstances.
They said that efforts have been made to change the direction from consumer economy to industrial economy. Secretary General of Businessmen Panel (BMP), Ahmad Jawad has appreciated the measures in the Finance Bill, 2019 regarding lifting of ban on purchase of vehicles on non-filers up to 1300cc and removing the embargo on withdrawal of Rs 50,000 cash, abolishment of Super Tax on non-banking companies. Also, agriculture sector RD has been reduced from 17 percent to 5 percent on all diesel engines which are used in agriculture.
He further said reducing tax on small marriage halls is a good step. In housing sector, tax on small houses will be reduced from 39 percent to 20 percent.
Jawad said these measures increase the confidence of masses. The automobile sector may flourish again after the measures taken in the bill are implemented.
Similarly, in the 'mini budget' for refunds of sales tax, the government will introduce giving bonds. At least some relief is given to business community which will help increase exports, he added.
Tax exemption up to five years on all Greenfield and other power projects is a healthy incentive for new investors which will help increase investment climate in the country. Now, there is a great opportunity for foreign companies to invest in power projects in Pakistan, Jawad maintained. Gulam Ahmed said he can't comment without seeing 'mini budget' documents. He added that the government must provide water, power, gas so that industries could run full capacity and facilitate local and foreign investors to make investment in the country.