Federal Board of Revenue Chairman Nisar Muhammad Khan said that the broadening of tax net was vital for development of the country and business community should cooperate in realising these goals.
He said that more tax on non-filers as compared to filers was meant to encourage tax culture in the country and in the forthcoming budget, tax rates for non-filers would be further enhanced so that more people could be attracted to increase tax net, he said while addressing business community at Islamabad Chamber of Commerce and Industry.
FBR Member Operations Dr Muhammad Irshad and Member Customs Nasir Masroor Ahmed were also present on the occasion.
The FBR chairman said that better growth of business activities was in FBR’s own interest as it would lead to increase tax revenue. He assured that the FBR would not make policies or take measures that would create problems for taxpayers including business community.
However, he said that the FBR was responsible to receive tax from every taxable income. He said FBR was focusing on broadening the tax base in the country due to which number of taxpayers have increased from 0.7 million to 1.1 million.
He was of the view that further increase in taxpayers would lead to reduction in GST.
Nisar Muhammad Khan said that tax advisory committees would be formed in Islamabad in the next week that would be helpful in resolving the tax issues of the business community.
He said budget-making process would start from Feb-March 2017 and stressed that ICCI should send its budget proposals to FBR as well as invite FBR officials to chamber so that budget could be finalised in consultation with stakeholders.
He assured that all genuine tax issues of the business community would be resolved.
Highlighting the issues of taxpayers, ICCI President Khalid Iqbal Malik said that FBR’s raids on shops were creating harassment among the business community.
He stressed that FBR should refrain from such coercive tactics and always take ICCI on board before taking action against any taxpayer of this region so that issues could be settled through negotiations. He said that there was a need to improve current tax system as it put more tax burden on industry compared to other sectors of economy.
He emphasized that FBR should develop a fair, transparent, easy to understand and easy to administer tax system that would promote better tax culture in the country.
