2.38 million rich Pakistanis don't pay taxes

[ajtr]

2.38 million rich Pakistanis don't pay taxes


Islamabad, Oct 4 (IANS) Over two million wealthy Pakistanis live in palatial houses, possess arms, drive luxury cars, travel abroad and hold multiple bank account, but don't pay their taxes, said a media report.
There are 2.38 million people in the country who are rolling in wealth, but do not figure on the tax roll at all, reported Dawn.
As many as three million people possess a National Tax Number (NTN), but only 1.4 million of them filed income tax returns last year.
The statistics were compiled by the National Database and Registration Authority.
An interesting fact is that there are 1.6 million people who frequently embark on international tours but do not pay a single penny as income tax.
The media report said that though prices of land are in millions of rupees in posh areas of Islamabad, Lahore, Karachi and Peshawar, "income tax officers don't bother to trace the buyers of these plots and make them pay income tax".

 

[Yogi]

the problem is that most pakistani consider their govt. as corrupt n make this as n excuse for not paying taxes

But this is a vicious circle as with less income from taxes govt. will be left with no other option then taking more loans from international institutions which indirectly means taking money from USA n West then they accuse their govt. to be spineless in front of West

 

[INDIC]

This system will never going to change.

 

[Splurgenxs]

id be lying if i say , i pay taxes out of free will and generosity? pfft

THe govt enforces such measures.

but since the Pakistani govt is off the ppl but (evidently) not for the ppl....so it a double whammy.

 

[VCheng]

Look at it this way: There are 2.38 million rich people whose interests are tied to keeping Pakistan going like this to their advantage. Hence it is likely that their success in this will keep Pakistan going forever.

 

[IND151]

i think unlike GOI, GOP has not given emphasis on indirect taxes

because our tax base (in %) is smaller than them, but still we are doing fine

 

[Imran Khan]

i think unlike GOI, GOP has not given emphasis on indirect taxes

because our tax base (in %) is smaller than them, but still we are doing fine

indians - when will you guys stay on topic and stop bringing india in every matter on earth ?

 

[mdcp]

Taxes are paid in welfare states not country like pakistan which is governed by mafia and gangsters and commision agents

 

[F.O.X]

2.38 Million is Too Low number , The Number is more then 5mln

 

[VCheng]

2.38 Million is Too Low number , The Number is more then 5mln

Okay, then, there are more than 5 million rich people whose interests are tied to keeping Pakistan going like this to their advantage. Hence it is likely that their success in this will keep Pakistan going forever.

 

[FaujHistorian]

2.38 million rich Pakistanis don't pay INCOME taxes


Islamabad, Oct 4 (IANS) Over two million wealthy Pakistanis live in palatial houses, possess arms, drive luxury cars, travel abroad and hold multiple bank account, but don't pay their taxes, said a media report.
There are 2.38 million people in the country who are rolling in wealth, but do not figure on the tax roll at all, reported Dawn.
As many as three million people possess a National Tax Number (NTN), but only 1.4 million of them filed income tax returns last year.
The statistics were compiled by the National Database and Registration Authority.
An interesting fact is that there are 1.6 million people who frequently embark on international tours but do not pay a single penny as income tax.
The media report said that though prices of land are in millions of rupees in posh areas of Islamabad, Lahore, Karachi and Peshawar, "income tax officers don't bother to trace the buyers of these plots and make them pay income tax".

Correct title should be:


2.38 million rich Pakistanis don't pay INCOME taxes


OK?

Here are some facts.

1. Every Pakistani rich or poor they all pay taxes through the nose. on gas, water, petrol, food, restaurants, clothes, appliances etc. etc. and you name it.

2. Every farmer small or big pays 5 different types of taxes.

3. All salaried people pay their INCOME taxes through the nose.


However the tax collection system in Pakistan is totally messed up,

1. Even when income tax department or the government owes a REFUND, they never ever ever issue a refund check.

2. Honest tax payers get hit with even more taxes.

3. Tax collection officers force people to mess up returns so that they can get their bhatta. And if you are a businessman, and you refuse to pay bhatta, your house, your cars, and your business will be threatened with the full force of the government.


In this corrosive environment, the quoted article in OP is just a joke.

a big joke.



peace


p.s. there are ways to improve the system, but I am not sure OP was looking for improvements. Perhaps this is one more effort to throw dirty water on Pakistan.

 

[pak-marine]

Look at it this way: There are 2.38 million rich people whose interests are tied to keeping Pakistan going like this to their advantage. Hence it is likely that their success in this will keep Pakistan going forever.

Well put ...........

 

[Durrak]

Pakistan and its massive tax problem – The Express Tribune

 

[BATMAN]

Pakistan is highest taxed country in the world, here compounded tax is charge, still all imports from India are custom free.

 

[FaujHistorian]

Pakistan and its massive tax problem – The Express Tribune

This essay is long on rhetoric and pretty slim on real ideas.


Few people want to realize that tax system and I mean any tax system consists of the many parts and components and then many many subcomponents.

1. Tax laws (at federal, provincial, and local/city/district level
2. Tax collectors (federal level, provincial, local)
3. Tax payers
4. Tax type (sales, excise or user tax, personal income tax, corporate/family income tax, import tax, export tax)

If tax-collection is not upto where it should be, then we must look at all 4 and not just focus on tax payers. As this will become "punitive" in nature instead of making it "contributory" .

Most of our intellectuals just go off and rant and rave about rich man not paying enough. Without ever addressing the core of tax collection system. God forbid if you ever have to deal with the tax collectors. They get into the department by paying huge amount of bribes, then they become Gods and us the tax payers simply ants and cockroaches to be crushed under the tax collector's shoes. Is this how you treat your citizens, in its own fing country ? (pardon my French).

In Pakistan (and I am sure in India too), we have tax collection system that is 200+ years old. In this age of Iphone and apps, the whole system must be updated.

1. Laws to be adjust to modern era (but our law makers do not spend 6 months a year updating laws)
2. tax collectors need to go home replaced by true customer service people. young guys and gals should be the collectors who take an oat to serve and not "govern" their people. Collection should be streamlined and made corruption free (NADRA is a good example that gov agencies can be replaced with better ones)

3. tax payers should be told that tax will be fair and not punitive (only punish 0.05% tax cheats a year. the rest will learn their lesson)

4. tax types have to be updated. In some cases taxes should be eliminated.
there should be minimal tax (or no tax) on basic necessities like food, clothing, gas, petrol, electricity, and water.

Then people will feel that income tax is the main way to contribute and run their government. Every government service like housing, health care, schooling etc. should be linked to tax id.

For income less than X amount, government service is free,
So you gotta submit your tax return before you get the service.

Right now government provides service to those who pay bribe. That's same as tax. But a bad tax. very very bad tax for everyone.


And there are many.

But the bottom line is that we must not shout about just 1 million people. In a country of 200 million we expect that every working man and woman should send in at least one page tax return every year.


How much tax need to be collected is also a question. Tell your citizens that to provide good schooling to 200 million population, we need 40 billion dollars a year. And then ask for that amount.


Tell people that to maintain 1 million man army, we need $50 billion a year and then ask for it.

Tell people that we need $60 billion to build rail and road and electricity infrastructure. Then ask for it.


And remember, tax collection is only part of the overall income. Tourism from Europe can be very big in Pakistan. Why can't Pakistan make 80 billion dollars a year from tourism?

How long we will continue begging for textile quota of 1 billion dollars a year from EU?


How about exports of other services and goods? Why can't we set the same target that of Turkey. Then ask turks how they manage that many exports.

But for crying out loud quit moping for 1 billion here and 1 billion there. Pakistan needs at least $200 billion a year. Tell people how we are going to get it. Where people have to pay, and where people have to serve.

If as an individual you can't pay taxes, can you make sure you wash the tourist's bus, and squeeky clean the road where tourists will come through?

Divide the services and taxes, treat them as citizens and not just hens that lay golden eggs.




peace