Islamabad Chamber of Small Traders on Sunday said budget lacks any relief for small traders as it has ignored masses and preferred voters over investors. Masses will find it difficult to get cheap food items as the budget of Utility Stores Corporation has been slashed from Rs 7 billion to Rs 4 billion, it said.
As usual parliament and masses have been kept out of the budget making process while bureaucrats have finalised it secretly, said Islamabad Chamber of Small Traders Patron Shahid Rasheed Butt.
He said that expenditures have been increased by two per cent which would be later revised while developmental budget has been hiked by 25 per cent which is difficult to finance as 45 per cent of the revenue goes in debt servicing.
Shahid Rasheed Butt said that taxes worth billions of rupees have been slapped, while the target of FBR has been increased by 14 per cent to Rs 4.33 trillion which will target local taxpayers.
FBR has always failed to meet the target turning to highhandedness which will create problems for the local business community, he added.
The business leader said that one per cent cut in corporate tax is meaningless while subsidies on fertilisers, power, tube wells, wheat etc have been slashed from Rs 140.6 billion to Rs 138.84 billion.
He regretted that the construction sector which was performing well and showing growth of nine per cent which has been burdened with taxes which should be reversed.
However, the expenditure on subsidies always cross the limit which will be repeated, he said adding that the budget of Utility Stores Corporation should be revised to provide relief to masses.
He said that the mini budgets are expected in future and a possibility of more IMF loans to stabilise shrinking forex reserves.
