LAHORE: Corporate tax reforms are essential to spur Pakistan’s economic potential and innovation, thus improving living standard of the people.
Talking to a delegation of industrialists here, Pakistan Furniture Council (PFC) Chief Executive Officer Mian Kashif Ashfaq has said that new government must prioritize these reforms to pave the way for a prosperous future.
At present, corporate tax reforms were imperative for economic growth and sustainability in Pakistan, he said and asserted that the current tax structure was burdened with complexities coupled with high tax rates and loopholes that deters investment, stifles innovation and hinders jobs creation.
“Implementing comprehensive corporate tax reforms is essential to address these issues and propel Pakistan towards prosperity,” he remarked.
Reducing corporate tax rates would make Pakistan more competitive globally besides attracting foreign investment and encouraging domestic businesses to expand. Lower tax rates would also incentivize entrepreneurship and spur economic activity, ultimately leading to job creation and higher incomes, he said.
The PFC chief said that simplifying the tax code and closing loopholes would enhance transparency and fairness, ensuring that all businesses contribute their fair share to the country’s development. This would help broaden the tax base and reduce reliance on borrowing, leading to a more sustainable fiscal position in the long term,he added.
Introducing incentives for research and development, he said, green initiatives, and innovation would promote a more dynamic and resilient economy, positioning Pakistan as a hub for innovation and technological advancement in the region.
