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PAMA apppeal

May 16, 2018


THIS refers to an appeal made by the Pakistan Automotive Manufacturers Association (PAMA) to the prime minister (May 11). It is a very strange logic that one of the largest industrial manufacturing sectors is appealing for waiver and clemency for non-filers of income tax at the time of buying a new vehicle, on the pretext of reduction in their sales.

Instead of supporting and augmenting the efforts of the government to bring the economy under documentation to increase its revenue, the PAMA is advocating the cause of the non-filers to evade taxes, just because they fear a drop in their profits. Although becoming a filer is not a big issue now — the dealers should themselves get the prospective buyer registered — it is only those buyers who would not agree who are in possession of unaccounted funds.

Further apprehensions have also been voiced, such as that the filers would exploit the situation. How strange! Why would they do that? And how would they justify the same to the tax authorities? This practice is only possible by the so-called investors with the connivance of the dealers, who are involved in manipulating documents before the delivery of vehicles.

Therefore, the government need not succumb to such appeals, and continue in its efforts to bring non-filers in the tax net.



Published in Dawn, May 16th, 2018