SWABI: The leaders of farmers said that passage of agriculture income tax bill by provincial assembly would have far-reaching impacts on agriculture sector in the province.

Addressing a meeting of Ittehad-i-Kashthkar Khyber Pakhtunkhwa (IKKP) here on Thursday, they said that the bill would badly harm growers, who were already facing financial difficulties and devastating effects of climate change.

They said that growers rejected government’s decision to impose tax on agriculture sector. They said that the cost of production of crops increased manifold owing to inflation in the country.

They said that in other countries, farmers were given incentives whereas in Pakistan they already paid various taxes on seeds, chemical fertilisers, pesticides and other agricultural inputs.

Meeting asks govt to reconsider bill passed by provincial assembly

IKKP central president Arif Ali Khan said that 15 per cent tax was imposed on annual agriculture income of Rs6 million to Rs1.2 million, 20 per cent on the income of Rs1.2 million to Rs1.6 million, 30 per cent on Rs3.2 million to Rs5.6 million and 40 per cent on the income exceeding Rs5.6 million.

“Similarly, a super levy has also been imposed on the landlords, who earn more than Rs150 million annually,” he said.

Liaquat Yousafzai, central president of Tobacco Growers Association Pakistan, told the meeting that imposition of new taxes was a matter of surprise. The government should have taken such measures that would have strengthened agriculture sector, which was hit hard by climate change and high cost of production.

“Agriculture is a self-employed field where thousands people earn their livelihood. Many farmers are expected to say adieu to farming soon owing to wrong agriculture policy and priorities of KP government,” he said.

Mohammad Ali Dagiwal, a leader of farmers, said that leaders of all parties agreed to raise salaries of MNAs and senators to Rs519,000 each. “When question of their perks and privileges comes then they no longer remain rivals and embrace each other, transferring the burden to poor farmers,” he said.

The participants of the meeting said that they would have no option but to react with full vigour if they were pushed to the wall.

They said that the bill should be reconsidered. They said that government should let farmers earn their livelihood with dignity and honour.

Published in Dawn, January 31st, 2025