ISLAMABAD: Adviser to the Prime Minister on Finance and Revenue, Dr. Abdul Hafeez Sheikh, said that Pakistan has reached important milestones in transparency and exchange of information.
The Adviser welcomes the plenary session of the Global Forum on “Transparency and exchange of information for tax purposes 2020”, organized by the OECD, for the technical support extended by the Global Forum and the UK Government, which he said was instrumental in the implementation of the Common Reporting Standard (CRS).
At present, Pakistan is one of the few developing countries among the early adopters of the CRS and has started exchanging data with partner jurisdictions in less than 02 years, according to a press release issued by the Ministry of Finance.
The adviser explained that tax transparency and exchange of information (EOI) are powerful tools to improve tax compliance.
“Pakistan is determined to combat tax evasion and other illegal financial flows and needs more international cooperation for cross – border assistance with tax recovery,” he added.
The adviser also briefed the forum on the negative impact of COVID-19 pandemic and the measures taken by the government to mitigate the suffering of the vulnerable groups.
During COVID-19, the Government of Pakistan introduced ‘Smart Lockdown’ to contain the spread of the disease with the need to keep the economy functional.
The Smart Lockdown approach by the Government of Pakistan is recognized worldwide. The Smart Lockdown has enabled many businesses to reopen on a limited scale or continue to reduce the negative economic impact during test times.
The government of Pakistan has given cash payments to 15 million families under ‘Ehsaas emergency cash payments’.
Amid COVID-19, the government has taken several initiatives to accelerate economic recovery. An aid package for small medium enterprises (SMEs) protected against insolvency and unemployment.
Similarly, a special package has been announced to promote the construction sector, which includes amnesty scheme, tax exemption and subsidy of Rs 33 billion to stimulate economic growth.
Pakistan recorded an upward trend in foreign overpayments and foreign exchange during the first quarter of FY-2020-21.
The government is determined to correct the fundamentals of the economy through effective policy making and targeted reforms. He added that the ultimate goal is to achieve sustainable economic growth, he concluded.
