Siraj Kassam Teli
Patron-in-Chief Businessmen Group in KCCI
The government’s revenue target are very ambitious” and over [the top]. Prior to deciding such [tax] measures, there should have been some groundwork regarding what capacity each type of industry has and how much they can be taxed in proportion to the capacity. Amid preexisting agitation by the opposition, the public, too, may stand up in protest. As it is, the industry isn’t performing well due to the recent devaluation of the rupee. Imposing duties will not improve the economy..it is incentivisation for increased corruption...they’re opening the doors for theft with increased duties...giving liberty to smugglers.
M Abdul Aleem
Secretary General Overseas Investors Chambers of Commerce and Industry
My first impression is that budget is balanced under given difficult economic challenges facing the economy. OICCI’s demands for simplifying withholding tax regime, doing away with final tax regime, not increasing corporate tax at 29 per cent and sales tax rates and measures to document the economy have been accepted.
However, the budget proposals has not provided any incentive to attract FDI in large projects which is critically needed for promoting import substitution and encouraging exports and employment in the country.
Chairman Pakistan Bedwear Exporters Association
This is worst ever budget I have come across. It seems that the government is only interested in keeping its liquidity position in the comfort zone at the cost of exports. By abolishing zero-rated facility for five export oriented sectors, the government has once again pushed exports in a limbo because huge amount of around Rs400 billion belong to exporters is still outstanding. Also, under the new arrangement exporters will only get refunds on the generation of Refund Payment Order RPO which could take six months or more, leading to a liquidity crunch and unemployment.
Chairman Site Association
The PTI government is totally depending on monetary policy for controlling inflation and this is the worst economic measure taken by it. The government needs to take some other economic measures immediately to contain inflation. Undoubtedly there was need to lower the threshold of taxable income from Rs1.2 million but it is unreasonable to lower it to salary income of Rs50,000 per month when the government itself has established the minimum wages of Rs17,500 per month. It is worth noting that a higher slab of up to 35 per cent on salary income may cause brain drain of talented people form the country.
S M Muneer
Former president Federation of Pakistan Chambers of Commerce & Industry
The budgetary proposals will push the cost of production higher which will leave our products uncompetitive against regional countries in the world markets. Similarly, the cost of living will also soar as many measures suggest increase in taxes on oil, ghee and other consumers’ goods and this will directly hit the masses. Reintroducing the Federal Excise Duty FED makes no sense as the said levy has been abandoned all over the world.
The budget would burden the common man and create problems for industry and trade, ultimately causing revenue loss to the country.
Published in Dawn, June 12th, 2019