KARACHI – President Pakistan Businessmen and Intellectuals Forum (PBIF), President All Karachi Industrial Alliance (AKIA), Senior Vice Chairman of the Businessmen Panel of FPCCI and former provincial minister, Mian Zahid Hussain on Monday said revenue target for the month of November has been missed which will lead to harsher tax collection drive and a mini-budget.
The masses and the business community is worried about the more harsh measures to boost collection which will leave many businesses reeling, he said.
Talking to the business community, the veteran business leader that the continued hike in power tariff has emerged as a threat to economic activities while the recent reduction in petrol price by 25 paisa is insignificant.
The former minister noted that the collection for the month of Nov was Rs334 billion or 17 percent more as compared to the last year but it is Rs48 billion short of the target which has pushed the shortfall of ongoing fiscal to Rs211 billion.
The July to November target was Rs1.830 trillion while collection remained Rs1.618 trillion. The number of filers has increased by 1.6 million but the income tax collection was missed by Rs54 billion for which the date of filing returns has been extended. Collection under customs duty was missed by Rs76 billion, while the Sales Tax target was fixed at Rs754 billion while the collection remained Rs715 billion.
Collection under Sales Tax was up by Rs200 billion but the business community says that refunds to the tune of Rs350 billion have been blocked otherwise the situation would have been different while payment as per the promises will improve the economic landscape.
The non-payment of refunds has pushed export sector to the deathbed while energy tariff has also become a matter of concern. He said that business has becoming difficult for exporters while the eroded buying power of masses and interest rates have also damaged masses and the business community while mini-budget will be a last nail in their coffin.
The PM should take urgent steps to boost exports to bail out the country from an economic crisis, he demanded.