Breaking News - IMRAN KHAN STARTED WAR AGAINST TAXES

[graphican]

Imran has only given this nation something good in every decade.. its not a political slogan but rather a reality that Imran Khan is Hope for coming generations.

 

[graphican]

we need to collect more taxes! not get rid of them!

It takes money to make money!

Nearly 600 billion rupee is going down the drain every year because of corruption in major National Institutions.. could Government not have saved some of the leakages instead of imposing new taxes? We need more taxes not on the people who are already paying enough, but on the people who do not give taxes yet and those are elite of the country.

GST or Reformed GST will put 25% more burden on the poor which will be devastating for the majority of people in Pakistan. Tax Real-estate and Agriculture which earn huge deal of money and return the Nation nothing and put a full-stop to corruption to generate needed revenue for the sate and debt-servicing.

Join Imran Khan - the Hope for a better Pakistan.

 

[Rafael]

Nearly 600 billion rupee is going down the drain every year because of corruption in major National Institutions. We need more taxes not on the people who are already paying enough, but on the people who do not give taxes yet and those are elite of the country.

GST or Reformed GST will put 25% m

Join Imran Khan - the Hope for a better Pakistan.

Excellent post sir. We need to broaden the tax base rather than putting on more burden on the people who are already paying taxes.

 

[ajpirzada]

Nearly 600 billion rupee is going down the drain every year because of corruption in major National Institutions. We need more taxes not on the people who are already paying enough, but on the people who do not give taxes yet and those are elite of the country.

GST or Reformed GST will put 25% more burden on the poor which will be devastating for the majority of people in Pakistan. Tax Real-estate and Agriculture which earn huge deal of money and return the Nation nothing.

Join Imran Khan - the Hope for a better Pakistan.

prove ur statement. will be of great help.

give me %age numbers ratios etc..... no theoretical writing


and also show me how will it put more burden on the poor? and how did u come up with 25% figure in ur post

 

[Last Hope]

I agree with IK,
we need to do that!

Agreed that taxes are needed by this Gov, but why shall we pay them when they arent being reached to gov and instead going in the hands of our beloved President and Prime minister ??

 

[graphican]

prove ur statement. will be of great help.

give me %age numbers ratios etc..... no theoretical writing


and also show me how will it put more burden on the poor? and how did u come up with 25% figure in ur post

Videos Posted by Mango Man: Sheikh Rasheed On Current Situation | Facebook

I'm sorry I don't have access to Economic documents to prove my point.

I rather ask you a counter question - please provide documentary evidence of a single National Institution that is going up or making progress or who has its capital increased as compared to previous 2 years. Lets the world see the good side of the governance that you have seen.

For the RGST - Its the IMF's compulsion instead of Need of people of Pakistan. I hope you wouldn't need a documentary deviance to learn that part at-least.

 

[WAQAS119]

prove ur statement. will be of great help.

give me %age numbers ratios etc..... no theoretical writing


and also show me how will it put more burden on the poor? and how did u come up with 25% figure in ur post

Let alone tax percentage their will be a big jump in perceived inflation which is more dangerous than actual inflation!
We are already touching sky in term of inflation! This tax will be a Poor Killer!

 

[ajpirzada]

Videos Posted by Mango Man: Sheikh Rasheed On Current Situation | Facebook

I'm sorry I don't have access to Economic documents to prove my point.

well im sorry if you have got Sheikh Rasheed as ur backup.

Poor people

Income tax (or Direct tax):
poor ppl in pakistan hardly pay any income tax as their monthly income is below the minimum taxable income of 25,000 Rs.

Indirect tax (or GST/VAT):
now more than 70% of their income is spent on food which remains exempted from indirect taxes. on the remaining less than 30% income which they spend on non-food items, they pay indirect tax in the range of 17-25%. take the average consider it to be 21%

All taxes:
now lets see what we get. Poor people pay 0% income tax and only 6% indirect tax on his/her income.

Middle class

Income tax (or Direct tax):
even a person earning 50,000 a month only pays 4.5% of income tax.

Indirect tax (or GST/VAT):
around 55% plus of their income is spent on food which is again exempted from any indirect tax. on remaining less than 45%, they pay 21% of indirect tax.

All taxes:
so a person earning 50,000 Rs. pays 4.5% income tax and 9.5% indirect tax on their income.

Conclusion:

Pakistanis are not over burdened from tax.

In UK, minimum income tax which u pay is 10% and maximum is 50%. In Pakistan, maximum income tax is only 20% which is paid by someone earning 30 lac Rs.

 

[VCheng]

well im sorry if you have got Sheikh Rasheed as ur backup.

Poor people

poor ppl in pakistan hardly pay any income tax as their monthly income is below the minimum taxable income of 25,000 Rs.

now more than 70% of their income is spent on food which remains exempted from indirect taxes. on the remaining less than 30% income which they spend on non-food items, they pay indirect tax in the range of 17-25%. take the average consider it to be 21%

now lets see what we get. Poor people pay 0% income tax and only 6% indirect tax on their income.

Middle class

even a person earning 50,000 a month only pays 4.5% of income tax.

around 55% plus of what their income is spent on food which is again exempted from any indirect tax. on remaining less than 45%, they pay 21% of indirect tax.

so a person earning 50,000 Rs. pays 4.5% income tax and 9.5% indirect tax on their income.

Conclusion:

Pakistanis are not over burdened from tax.

In UK, minimum income tax which u pay is 10% and maximum is 50%. In Pakistan, maximum income tax is only 20% which is paid by someone earning 30 lac Rs.

^^^ The above post seems to be confusing in its concept of "direct" and "indirect" taxes, at least to me.

 

[ajpirzada]

and secondly taxes are being reduced from the current 17-25% to 15%.

food and life saving drugs still remain outside tax bracket. meaning poor wont get burdened in anyway.

stop this 'follow the media' and hating PPP attitude. If you want to be critical of their policies then atleast come up with logical arguments.

 

[ajpirzada]

^^^ The above post seems to be confusing in its concept of "direct" and "indirect" taxes, at least to me.

Ok. I have put in some new headings to clear the confusion.

Is it more understandable now?

 

[VCheng]

Ok. I have put in some new headings to clear the confusion.

Is it more understandable now?

Thank you for that clarification.

However, if food is exempt from "indirect" taxes as you describe, then please consider the following:

If agricultural inputs (fertilizer, seeds, transportation etc.) that produce the food on the table are taxed, then the cost of the food must rise to incorporate those taxes. This hidden component would be "indirect" taxes by my definition, and these affect everybody.

Pakistan's taxation system has a high reliance on indirect taxes and a lower reliance on direct taxes. These ratios need to be reversed for the system to be more equitable, as well as including ALL income under the tax net.

 

[whydowelove]

and secondly taxes are being reduced from the current 17-25% to 15%.

food and life saving drugs still remain outside tax bracket. meaning poor wont get burdened in anyway.

stop this 'follow the media' and hating PPP attitude. If you want to be critical of their policies then atleast come up with logical arguments.

so does it mean ppl paying 19.5% tax on mobile calling cards will have to pay 15% tax?


and secondly i agree most of life saving stuff remain out side tax bracket, however still tax is being implemented on small businesses and commercial industries which mean life saving drugs and other industrial goods will still be affected indirectly?

 

[ajpirzada]

Videos Posted by Mango Man: Sheikh Rasheed On Current Situation | Facebook

I'm sorry I don't have access to Economic documents to prove my point.

I rather ask you a counter question - please provide documentary evidence of a single National Institution that is going up or making progress or who has its capital increased as compared to previous 2 years. Lets the world see the good side of the governance that you have seen.

For the RGST - Its the IMF's compulsion instead of Need of people of Pakistan. I hope you wouldn't need a documentary deviance to learn that part at-least.

your counter question: are you talking about national institution or state owned enterprise. Bec if you are talking about institutions, then SBP, PTA, OGRA, CCP etc.. are also national institutions.

RGST: have u even looked at your current 20 years old GST system? my friends, world has moved on by reforming their tax systems. Why do you want Pakistan to stay behind? Only bec IMF is endorsing it?

 

[ajpirzada]

well if you start talking about inputs etc., in economics everything has an indirect effect on everything. but the question is how much will the effect be?

according to an exercise done by Finance Ministry and FBR, there will only be 0.63% increase in inflation.

however, negative reporting is fuelling the inflation expectations which will exacerbate the situation.


main reason for this minimal increase in inflation is that business will not pass on the benefits of tax reduction (from 17-25% to 15%) to the consumer.