LAHORE: The Punjab Assembly has passed Finance Bill 2016, which was presented under the annual budget 2016-17.
The Assembly in the session also passed the Punjab Local Government (Fourth Amendment) Bill 2016 with all amendments presented by the opposition rejected.
The schedule of authorised expenditure for the year 2016-17 was also laid in the House along with the Punjab Civil Courts (Amendment) Ordinance 2016. The Punjab Blood Transfusion Safety Bill 2016 and The Punjab Revenue Authority (Second Amendment) Bill 2016 was also introduced in the House and referred to the relevant standing committee.
Mehmood-ur-Rasheed criticised the government for applying a new tax on any vacant plot of 5 marlas and more after a period of two years since purchase by stating that this would crush any poor man collecting his savings to build a house for him and his family. Taxes placed on marriage halls and wedding services providers would be transferred to the ordinary person in terms of higher prices, the Opposition leader added.
In addition, taxes on rickshaws and small motorcycles would hurt the average person whereas owners of luxury and imported cars had to pay a small amount in taxes for their expensive vehicles. The Opposition leader stated that there was no source of relief for those impoverished in the newly-introduced Finance Bill and the government had defaulted on its promises that more efforts would be made to broaden the tax net instead of levying new taxes on an already economically strapped public.
PTI MPA Shunila Ruth added to the criticism of the Finance Bill stating that the burden of indirect taxes was too high and that the new tax regime was regressive in its nature disadvantaging the lower classes the most. She informed the House that the Punjab Revenue Authority was not transparent in its tax collection process and was functioning this without an appointed board of governors as pointed out in a judgment given by Lahore High Court Justice Syed Mansoor Ali Shah.
PPP MPA Qazi Ahmed Saeed said taxes should be levied according to payer’s ability to pay. The finance minister concluded the discussion by dismissing claims that the budget was regressive in nature and justified the tax on vacant plots which was an effort to end the practice of land speculation that brought in unearned profits and owners of rickshaws and motorcycles had the option of making lifetime lump sum payment to ease the tax burden.
