The chairman of the Central Board of Revenue admitted at a seminar in Karachi last week that there were gaps and loopholes in the tax system that needed to be filled.
This can only be done if the CBR is in a position to do so. As a first step, the government should introduce legislation to make the CBR autonomous. Its management should have the power to hire, fire and transfer its staff and formulate its own policies.
In this regard, a law for granting autonomy to the CBR so that not only reforms are carried out but their continuity is also ensured deserves due consideration. In this, the emphasis in reforming the organization should take precedence over achieving targeted collection figures.
It is only then that the gaps and loopholes in the tax system can be plugged. An autonomous CBR should be given the responsibility to increase the number of taxpayers in the country from the present 1.7 million to three million within a reasonable period of time.
Over the past few years, the present government has used a policy of carrot and stick but this has not yielded the desired results. On the one hand, tax rates have been reduced and rationalized, with taxpayers being given a variety of options for payment as well as incentives.
On the other hand, a massive drive was launched a few years ago to unearth tax evasion and theft with exemplary fines and punishment for those found guilty. Neither of these approaches proved effective in widening the tax base or increasing collections from direct taxes significantly.
What is needed instead is an integrated approach towards making the CBR more efficient as well as introducing laws that would allow the organization to sustain the proposed reforms.
If this is not done and the tax base remains as narrow as at present, there is a danger that economic progress will be retarded and the government would have to resort to heavy borrowings to meet its budgetary needs as was done in the past.
Banning panchayats
Yet again, a panchayat in southern Punjab has gone ahead and meted out barbaric punishment in the form of ordering the rape of two women, allegedly by a landlord who felt he had been humiliated by the women's family.
While some of the panchayat members have been arrested and are now claiming that they ordered no such thing, the fact is that firm steps need to be taken to weed out this system of tribal justice, which holds particular sway in the rural hinterland.
The members of this panchayat claim that they did not have any such punishment in mind and that the girls had "just" been beaten up to avenge the other family's humiliation.
The Supreme Court needs to take notice of the growing incidence of cases with a parallel system of adjudication doling out all kinds of gruesome and misogynist punishments to the 'guilty'.
The recent judgment of the Sindh High Court banning jirgas and their primitive system of justice needs to be followed all over the country so that at least a legal prohibition is placed on bodies which seek to take the law into their own hands.
However, mere passage of a law or a prohibition decreed by a superior court cannot be expected to do away with a custom deeply embedded in society. It is necessary for more enlightened people to come forward and protest against all such forms of arbitration.
It also needs to be realized that if our courts did not suffer from a massive backlog of cases, if pursuing a civil or criminal case was affordable and if judgments were delivered within a reasonable time, litigants, especially from the impoverished and rural backwaters, would not go running to panchayats or jirgas.
So, while a nationwide ban on panchayats and jirgas is imperative, it is important to ensure speedy and inexpensive justice to people under the country's judicial system.