KARACHI: Finance Minister Ishaq Dar has agreed in principle to remove some of the anomalies in the finance bill to address the business community’s apprehensions, the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) claimed on Thursday.
Irfan Iqbal Shaikh, the FPCCI chief, said Mr Dar had promised to look into a list of anomalies presented to him by FPCCI on income tax, withholding tax, sales tax, FED and customs in order to improve investor sentiment in the country.
Mr Shaikh said one of the most important demands accepted by the finance minister was that measures be taken to bring more people into the tax net instead of squeezing the existing taxpayers.
According to a press release, the FPCCI chief apprised Mr Dar it was agreed upon earlier that parity would be applied to industrial and commercial importers of raw materials for income tax purposes through WHT.
As part of the understanding, other activities like logistics, goods carriers and oil transporters will be treated at par as well.
Section 99-D of the ITO also came under discussion and it was agreed that it is unjustified to tax gains, profits and dividends only, without accounting for losses and other adverse economic factors.
The reimposition of 10pc tax on bonus shares will also be reconsidered.
Mr Sheikh categorically opposed super tax under Section 4-C of ITO as counterproductive for business, commercial and industrial activities of the country as “we cannot punish the business community for generating revenues, employment and making justified profits in the process”.
Published in Dawn, June 23rd, 2023
