ISLAMABAD: Finance Minister Muhammad Aurangzeb stressed on importance of economic cooperation of China saying that Beijing supported Pakistan for the agreement with the International Monetary Fund (IMF).
Addressing a press conference here, he claimed that China would back Islamabad during the IMF board’s meeting for a new loan agreement.
The minister said that Pakistan has friendly and fraternal relations with China. Detailed discussions on energy projects were held with China, Panda Bond and transfer of coal power plants to local coal were discussed during the visit to China, he added.
Minister Aurangzeb said robust measures are being taken to improve country’s economy.
He said reforms are being done in the FBR and in this regard weekly meetings are held under the chair of Prime Minister Shehbaz Sharif. He said that putting less burden on lower income class is the government’s top priority.
Expressing gratitude to the chief ministers of all four provinces for supporting government’s tax reforms agenda, he expressed hope that they will introduce tax legislations for inclusion of Agricultural sector in the taxation regime.
He said without including untaxed and under tax community into tax regime, we cannot achieve certainty and ease of collection that is vital for economic stability.
Regarding facilitation to the business community, Muhammad Aurangzeb said claims worth 68 billion rupees have so far been now refunded.
The minister said notices will be sent through a centralized system, while field formations will be authorized to collect taxes accordingly.
Mentioning the details of tax evasions and frauds, he said we have identified a tax potential worth 600 billion rupees that was not collected, out of which one billion rupees has been recovered so far. In customs, through misclassification, tax worth around 50 to 200 billion rupees has been identified.
He urged media to start a campaign against under tax and non-tax paying community.
He said the government is also working on the simplification of the tax processes to facilitate the business and salaried persons. Through this simplified process, they will be able to respond to our system in a very simple and easy manner without the involvement of any tax consultant.
Stressing the importance of rightsizing, the Minister said five ministries, including Kashmir and Gilgit Baltistan, SAFRON, Industries and Production, IT and Telecom and Health have been short-listed in this regard.
He said Prime Minister Shehbaz will take the final decision to this effect.
