ISLAMABAD: International Monetary Fund has expressed apprehensions over Prime Minister’s tax incentive package.
According to the IMF’s supplementary appraisal “first review under the Extended Fund Facility request for non-observance of a performance criterion and modification of performance criteria” supplementary information dated December 11, 2013, “it will be important to ensure that the investment incentive initiative is in line with the program’s strategy to improve tax compliance”.
“While some details of the package are still being worked out, staff is concerned that presently envisioned arrangements may undermine principles of self-assessment and pose risks to the integrity of the tax system. Further work on this should await second review consultations, and discussion with international experts,” the review text added.
