ISLAMABAD: The Senate Standing Committee on Finance and Revenue has recommended zero tax rates on import of dumper trucks for backward areas, including Thar, Balochistan and Khyber Pukhtunkhwa.
The committee also recommended to end unequal income tax on power generation projects as well as proposed exemption of income tax for hydel power projects. The committee also proposed tax exemption for FATA people as well as increase in the subsidy on wheat for them.
The Senate Finance Committee finalized over 170 budget proposals here for the fiscal budget 2016-17. These proposals will be presented before the House today (Thursday) for further discussion and simplification. After approval from the Senate, the proposals will be referred to the National Assembly Secretariat for inclusion in the final draft of the budget.
Chairman Committee Salim Mandviwala after chairing in-camera meeting told reporters here that over 170 budget proposals had been finalized after through discussion within the committee as well as with concerned stakeholders.
In this regard, he said that a number of prominent tax and economic experts were also invited to the floor of the committee for get first hand knowledge about the problems confronted by different sectors on account of tax authorities and officials.
Similarly, he observed that recommendations of the Tax Reforms Commission (TRC) were also given due importance in the finalization of budget proposals of the committee.
While naming a few of major important proposals, he said that these proposals were vital for the uplift of common people as well as people associated with the concerned sectors.
Mandviwala said committee had also proposed to collect income tax from the land developers and builders as per new mechanism.
The committee has proposed 20% increase in the salaries and pensions of the government employees and stopping the privatization of Pakistan Steel Mills and State Life Insurance Corporation Limited.
The committee also proposed start of Islamic Banking system in the country, issuance of interest free loans’ scheme for widows and poor people, construction of small dams in Balochistan and other areas of the country.
The committee further suggested increasing the health and education budget, starting Takaful insurance scheme for farmers as well as allocation of funds of Rs20 billion for Gwadar Port and many other proposals.
