The case:
According to the record of NADRA, there are over 3.8 million potential taxpayers in Pakistan but only 0.8 million people filed tax returns in the last year 2012. In the recent budget 2013-14, Finance Minister, Ishaq Dar aimed to bring those people who are not paying taxes into the tax net by enhancing the tax machinery efficiency, removing anomalies, simplifying tax procedures, broadening the tax base and by several other measures. According to him, the focus of the budget is to improve the tax to GDP ratio to finally reach the targeted level of 15% by year 2018. In this budget, new taxes of Rs.209 billion worth have been imposed to meet the revenues and General Sales Tax (GST) has also been increased from 16% to 17%. Follow the given link of an article for further details of government taxation policy.
Being a student of Economics carefully read and evaluate this article. How this government taxation policy will affect the economy as a whole? Will these policies helpful in enhancing tax net and tax to GDP ratio?
Solution: This budget seem to crush the poor and middle class people. Increase in Gst, Patrolium products, Electricity and many more will directly effect the common people and will make their life more meserable.This shows the team who work for this documents are the people of another planet. They must give a 2ns thought to this un-realistic budget.May Almighty Allah give them wisdom and sencerity toward the poor masses of this country.
According to the record of NADRA, there are over 3.8 million potential taxpayers in Pakistan but only 0.8 million people filed tax returns in the last year 2012. In the recent budget 2013-14, Finance Minister, Ishaq Dar aimed to bring those people who are not paying taxes into the tax net by enhancing the tax machinery efficiency, removing anomalies, simplifying tax procedures, broadening the tax base and by several other measures. According to him, the focus of the budget is to improve the tax to GDP ratio to finally reach the targeted level of 15% by year 2018. In this budget, new taxes of Rs.209 billion worth have been imposed to meet the revenues and General Sales Tax (GST) has also been increased from 16% to 17%. Follow the given link of an article for further details of government taxation policy.
http://epaper.dawn.com/DetailNews.php?StoryText=17_06_2013_604_001
Requirement:Being a student of Economics carefully read and evaluate this article. How this government taxation policy will affect the economy as a whole? Will these policies helpful in enhancing tax net and tax to GDP ratio?
Solution: This budget seem to crush the poor and middle class people. Increase in Gst, Patrolium products, Electricity and many more will directly effect the common people and will make their life more meserable.This shows the team who work for this documents are the people of another planet. They must give a 2ns thought to this un-realistic budget.May Almighty Allah give them wisdom and sencerity toward the poor masses of this country.
No comments:
Post a Comment