ISLAMABAD: The Pakistan Economy
Watch (PEW) on Sunday said that the Federal Board of Revenue (FBR) is harassing honest taxpayers
to meet the revenue target
which should be noticed. The tax authorities should be chasing those who enjoy princely lives and avoid paying any tax, it said.
The government is planning to introduce a mini budget to fill the revenue gap,
which would be unfortunate, said PEW President Dr Murtaza Mughal and Senior Vice President Kashif Iqbal Gondal. They said that mini budget would hit businesses, masses and the tax structure that is already working against the desire of the stakeholders.
Over the years the government has increased its dependence on indirect taxation
which has resulted in widespread poverty and restlessness, they observed. Dr Mughal said that FBR is increasing disparity in distribution of wealth, resulting in increased poverty, unemployment and extremism.
The country is suffering from regressive tax
system as over sev
enty per cent of the taxes are collected through indirect taxation
which is wrong and government should enforce a proper direct taxation
system to force elite to discharge national obligations, he said. Imposition of additional taxes or harassing honest taxpayers to show improved collection is not acceptable, as the
system continues to support rich on the cost of poor,thus widening the income gap.
