MULTAN: Traders, industrialists and exporters have sharply reacted to the government’s proposal to increase withholding tax rates for non-filers of income tax returns, describing it to be an unwise act.
They said that the present regime should waive this tax immediately to win over the business community.
Local traders said that the present regime has no right to approve the next budget for 2018-19, when its term is ending in May 2018. It may be recalled that an aide to the prime minister said that withholding tax rates for non-filers of income tax returns would go up further from July.
He further said the government would ensure that it widens the difference between rates for filers and non-filers of income tax returns. His statement comes amid questions over the government’s moral authority to present the budget a month before its term ends.
MCCI President Malik Asrar Ahmed Awan said the FBR collects roughly 90% of the total revenue through indirect taxes, including withholding tax.
