ISLAMABAD: Finance Minister Asad Umar is presenting the finance bill in the National Assembly session being held today.
Earlier Asad Umar began by stating that this was not a mini-budget being presented but rather a set of economic reforms.
The finance minister asked what the opposition had left behind for the people of Pakistan. “Two years ago an economic situation began to develop when all economic experts started to say that danger bells are ringing. But instead, those in power did not pay heed, they thought the people were ignorant, and instead they conspired to buy an election.”
Umar added that the deficit grew to Rs900 billion, asking who this gap would be filled. “Where will this gap be filled what? Will that come from their Swiss accounts? No. That money is filled with money paid by the citizens.”
According to the finance minister, there were record losses in Still Mills, Railways and the opposition had left the country in debt of up to Rs2,500 to Rs3,000 billion.
The minister brought attention to the dangerously low level of exports. “Today exports are at 40 per cent. On the entire national output, exports were 14 per cent and not they are just 7 per cent.”
Umar said the PTI government would not need to ‘buy’ any elections.
Salient features
- Tax on income from loans to SME sector to be reduced to 20%
- Agricultural tax will be dropped to 20 per cent.
- To provide low-income housing, loans will be decreased to 20 per cent. Rs5 billion revolving fund will be introduced.
- Withholding tax for filers on banking transactions will be eliminated to encourage the culture of paying taxes.
- Non-fillers will be able to purchase small and mid-size cars up to 1300CC, but the tax would be increased.
- Tax has been decreased to Rs5000 for small wedding halls up to 500 square feet.
- Duty on import of newsprint eliminated.
- Special economic zones have been formed keeping in mind the interest of CPEC.
- In the next 5 years, those working to produce products for renewable energy will be exempt from sales tax and customs duty.
- No tax on bids for sports franchises until profitability.
- From July 1 super tax will be eliminated for non-banking companies.
- Continuation of 1pc per annum reduction in corporate income tax.
- Tax will be increased for vehicles over 1800CC
- Tax for low priced phones will be decreased.
