Cosmetics won’t work

Published
0

THIS refers to the news item ‘Government commits cut in subsidies, imports’ (May 19). Cutting import of 30 items is nothing but a joke. There are hundreds of non-essential items that are being imported for the affluent class. Entry of all unnecessary/avoidable goods must be stopped forthwith, allowing the import of only the bare minimum stuff, like essential food items, oil/gas, industrial raw material and machinery.

The restriction on the import of a few items makes one wonder if the government is really serious about doing the right thing. Perhaps, the government does not want to annoy the powerful business and trading groups.

The fact is that there is an urgent need to revisit the flawed Free Trade Agreements (FTAs) and Preferential Trade Agreements (PTAs) signed with different countries that are hurting the national economy and are responsible for the rising trade imbalance.

Of course, the ban on imports would result in lower revenue collection against import duty, but this may be – must be – made up by enlarging the tax net and imposing more direct taxes on the rich.

The time is just perfect for imposing tax on agricultural income. A huge amount of tax on income ‘other than agriculture’ is being evaded under the garb of agricultural income. Can the government, with agricultural landlords representing 60 per cent of parliament, muster enough strength and courage to confront the all-powerful landed aristocracy?

Huma Arif
Karachi

Published in Dawn, May 25th, 2022

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