LAHORE: The United Business Group (UBG) on Monday asked the Federal Board of Revenue (FBR) to reduce tax rate in the upcoming budget to restore the confidence of the business community.
The government should waive taxes on import of plants and machinery to trigger industrialization in the country, said Zubair Tufail, Secretary General UBG.
He said that taxation system is heavily tilted in favour of trading sector while discouraging the industrial sector, therefore it should be balanced. He called upon the government to waive all taxes on establishment of new industries which will help reduce unemployment and boost exports.
Zubair Tufail said that sectors enjoying unfair tax relaxations should be brought into the tax net and those evading taxes should be dealt according to the law.
A just taxation system will encourage compliance and discourage corruption which can boost government income to five trillion rupees per annum, he noted.
Tax system should be improved, level playing field should be ensured and loopholes should be plugged to stop wastage to the tune of billions in the system, he suggested.
He said that preferring direct taxes over indirect collection will make things cheaper and lift millions out of poverty.
