KARACHI: The Pakistan Business Council (PBC) has complained to Finance Minister Ishaq Dar about the coercive measures of Federal Board of Revenue (FBR) as it has increased the cost of doing business in Pakistan.

In a letter to the finance minister, Chief Executive of PBC Kamran Y Mirza showed concerns about the current attitude of FBR that would adversely impact the country’s ability to attract investment.

“Our members are most disturbed about the current attitude of the FBR when dealing with them, amongst the most ethical and largest tax payers in the country, by way of arbitrary action and inaction,” he said.

“In the short term this may result in increasing revenues for the government but in the long run it will have opposite effect,” he said.

Kamran pointed out a particular case of Philip Morris (Pak) Ltd., being the largest private sector US investment as well as tax payers, which is facing arbitrary/irrational tax assessments by the FBR.

“Arbitrary/irrational tax assessments by FBR has affected the company’s operations and if mishandling of tax issues persists it may have unfortunate consequences,” he observed.

He urged the finance minister to look into mishandling of Philip Morris tax issue by the FBR, failing which, a very damaging impression will be formed by the existing and potential future investors – local and foreign.

He asked finance minister to give PBC an early opportunity to discuss ways and means to accelerate the economic growth rate.

Published in Dawn, October 21st , 2014