13 June 2004 Sunday 24 Rabi-us-Saani 1425 Salient features of taxation ISLAMABAD, June 12: Following are the salient features of taxation of the budget 2004-05 announced on Saturday by Finance Minister Shaukat Aziz in his budget speech at the Parliament House. ... 0.1pc CVT disappoints brokers, investors: Stock business KARACHI, June 12: It was difficult for stock brokers and investors at the stock exchange to decide whether what the Finance Minister had offered was a glass half empty or half full. ... Budget focuses on SMEs: KCCI KARACHI, June 12: The KCCI on Saturday termed the 2004-2005 budget as growth-oriented and business friendly in which the government had focussed on SMEs. ... Trade and industry term budget growth-oriented KARACHI, June 12: The trade and industry have termed the budget 2004-05 "investment and growth-oriented". The business community is of the view that it will help cut the cost of doing business in Pakistan. ... Economic survey contradicts realities LAHORE, June 12: While annual Economic Surveys launched by government on the eve of the national budget are never models of accuracy and logic, one cannot recall this document so heavily defiant of these principles than the latest Survey. ... Revenue target fixed at Rs580bn ISLAMABAD, June 12: The government has fixed the revenue target for the year 2004-05 at Rs580 billion compared to Rs510.1 billion target set for the outgoing fiscal year, showing an increase of 13.7 per cent. ... Steps for poverty reduction 'cosmetic' KARACHI, June 12: With no budget documents were available in Karachi till late in the evening on Saturday when the federal finance minister delivered budget speech in the National Assembly at Islamabad, it is difficult to assess the impact of the increase in taxation revenue ... 15pc GST on over 228 items proposed ISLAMABAD, June 12: The government has proposed a levy of 15 per cent general sales tax on cottonseed and its oil, zero rate of sales tax on supply of ginned cotton, hides and skins, a reduction of GST from 20 per cent to 15 per cent on more than 228 items ... Duties on machinery cut to 5pc ISLAMABAD, June 12: The government has scaled down duties on all types of machinery to 5 per cent, reduced rates of customs duty on import of motor vehicles, exempted agriculture machinery from customs duty, reduced duty on raw materials ... Tax-to-GDP ratio falls to 9.3pc ISLAMABAD, June 11: The tax-to-GDP ratio has declined to 9.3 per cent during the outgoing fiscal year of 2003-04 from the 9.6 per cent of last year, says the Economic Survey. ... Guarantees: govt to bear Rs76bn liabilities ISLAMABAD, June 12: The government is projecting to bear a cost of Rs76 billion as explicit and implicit contingent liabilities on account of guarantees it had issued on behalf of public sector enterprises during the current year (2003-04). ... Tax exemptions cost declines by 15.8pc ISLAMABAD, June 12: The revenue loss to the national kitty, because of major tax exemptions, has declined by 15.8 per cent to Rs19.6 billion in 2003-04 against Rs23.3 billion over the corresponding year. ... Agriculture growth slows by 1.5pc ISLAMABAD, June 12: The agriculture growth slowed by 1.5 per cent to 2.6 per cent during 2003-04, according to the Economic Survey released by the government here on Friday. ... Lending for long-term industrial investment KARACHI, June 12: The banks' lending policy is not conducive for long-term industrial investment, having deviated from past practices that brought about rapid industrialization, says a business group. ... LTU set to meet revenue target KARACHI, June 12: The Director General Large Taxpayers Unit, Karachi, Shahid Jamal said on Friday that the LTU would meet the revenue target because the collection of various taxes till May, had already exceeded last year's final collection. ... Wheat: rejoinder to Australian HC ISLAMABAD, June 12: The Pakistan governement refused to accept the Australian wheat mainly on account of phyto-sanitary considerations in order to save its own wheat crop from contamination by fungus detected in the wheat, official spokesman clarified here on Saturday. ... Stakeholders hail sales tax waiver on lint KARACHI, June 12: Ginners, spinners and cotton traders on Saturday welcomed the sales tax waiver on the ginned cotton as it would enhance the competitiveness of the textile sector on the world markets and give the needed boost to exports. ... Opec alone can't change market's fundamentals RIYADH, June 12: OPEC alone cannot change the fundamentals of the market. It would not be able to take woes out of the oil markets without other factors playing there due role, analysts here in Dhahran, the virtual global energy capital, strongly feel. ...

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