New taxes expected in coming budget

[American Pakistani]

Courts me tou jese mera chacha judge laga betha hai

Government accounting should be open on internet and everyone could see it (exept security and sensitive organizations of course). Remember that in democracy government is answerable to the public, its not the other way around

People like you are the reason Pakistan is in such dire economic crises.

 

[AZ1]

People like you are the reason Pakistan is in such dire economic crises.

Its easy to sit outside of country and lecture.others why dont you settle in Pakistan and then argue about.

How much this filer 1% generating revenue for country? 413B.

Total collection of fbr is 2 trillion where did that come from ? If 99% are not paying taxes? They are paying AIT (Advance income tax) then they are paying extra for not being filer. In registration of car, house, even cash withdrawl more than 50,000 tax deducted from non filer.

Only a stupid would thing that 1% filer is running the country. Its your 99% who are running the country indeed.

First set the example of what non filer are paying the taxes then come to public to ask for more. Currently not providing much and asking for more is what is happening in pakistan thats why there is lack of trust otherwise Pakistan is on number 3 in paying zakaat, sadaqat in this ramadan 2019.

 

[Pakhtoon yum]

Wtf is wrong with these idiot? Firstly refine the taxation methods and make them extremely efficient and clear. So that no theft occurs, and people know how much money went where. Then enforce the new takes and make it haram for people to avoid their taxes. Teach the young ones how bad tax aviation is. Then think about introducing new taxes.

 

[Indus Pakistan]

Spot on.

Pakistani people should use an important acronym whenever some politician says "factories, assemblies etc"....they should enquire about the MVA (manufacturing value added).

MVA is the crucial thing w.r.t manufacturing broadly. You can have a large factory that looks good on brochure....but whats the real point if the country imports 99% of what goes in and adds just 1% in value of the final product (say final labour SKD assembly) before sold in Pakistan?

Pak people should put pressure for more MVA. Where it is 1%, push to get it to 5%. Where its 5%, push to get to 10% etc..

Start the incremental expansion backwards along the economic chain of MVA....rather than accept status quo sold to you by politicians and oligarchs...and their dirty lie that Pakistan just needs "more" factories and "more" loan-fuelled infra. Its a question of improving quality/depth of existing factories rather than going for more 1% addition (or even 0% addition) factories.

Every little bit of educated pressure will help mightily in creating genuine investment and more honest economy.

@Norwegian @VCheng @Indus Pakistan @That Guy @Oscar

This is exactly what I have been crying on about. Although I am a absolute supporter of PMIK and have been for long time but I expect zero change in the structure of Pakistan's economy which is configured as a glorified mafia racket and rent seeking. It is extractive rather then productive. The reason I say so is PMIK sits atop a coalition that includes rent seekers. I don't blame PMIK. Any attempt to really take out the scalp would result in unravelling of the coalition government. Sadly the Pakistani electorate did NOT give a mandate to bring about real tabdeeli. My only hope is PMIK can raise taxes and spend money on education, health and the neglected regions. This should result in major change in Pakistan in generation as we end up with a more educated, healthy and more representative polity as opposed being dominated by few centres. This should be a harbinger of change, real change.

How would I sum Pakistani's economy? First we don't really have any industry. I mean we don't have any industry given that this is 200 million country. There towns in the world with more industrial muscle then all of Pakistan. So what is Pakistan's economy?Well, this is what our ruling elite have built up in 70 years.

1. Export Pakistani's in the millions.

a. this results in $20 billion inflows in remittances and if illegal transfers are taken into account possibly over $40 billion.
b. such huge remittances inflows which are far in excess of the paltry $20 billion in exports creates huge demand for products and services inside Pakistan.
c. that demand is then raped by a monoplistic order under the purview of the state. Import controls or taxes effectively divorces the Pakistani consumer from the global economy. This is where the so called industrialists of Pakistan move in as rent seekers and exploiters. In conjunction with the political order they gain licences to 'manufacture' which is pushing that word cars, tv's etc. This entails the Pakistani rent seeker who has connections getting the licence and then approaching a foreign manufacturer or service provider to set up a local franchise which merely stamps 'Made in Pakistan' what in fact is a foreign product. By stamping 'Made in Pakistan' the rent seeker now has his licence to rape the Pakistani customer by selling what is in fact a foreign product at grossly over inflated prices, probably 50% more then what you have in India. Look at the roads in Pakistan. Find me one vehicle that is indigenous to Pakistan? all you will see is the illigitimate Toyotas, Nissans, Suzukis, Hondas etc This also covers every other aspect of the economy. Foreign food franchises owned by rent seekers like McDs, Pizza Hut etc etc All Pakistani industrialists do is instead of allowing the consumer to purchase his own product ffrom abroad they do the buyong for him and after stamping the 'Made in Pakistan' charge 100% premium on a shoddy product.

2. Rent out the country to superpowers.

• a. This used to be USA and from 1960s Pakistan garnered billions of dollars that enriched a rapacious elite who on one hand pocketed some of the money and then often sent their young to USA to study and set up shop in America. On retirement many of these officials settled in USA or have links to USA. All the while singing the 'death to America' mantra to hide this racket from the masses. A good example of this is Hussain Haqqani who was a street jihadi in his student days, helped to spread the curse of political Islam, then worked in government and now is chilling in USA giving lectures. In a weird way he is the ultimate rent seeker. He has found his vocation as Pakistan hater and mined the rick money lode that exists in USA if you please the American audience which nowdays has very low opinion of this country.
  
• Other examples are renting Pakistan to rich Gulf countries. This entails effectively hiring out armed forces personnel to them in various guises. Also allowing huge funding of various madaris in Pakisan to the point where most of the clergy is beholden to them and through them they have intoxicated big chunks of the country which is even evident on PDF.
• attempt has been made to milk the Chinese but those guys are way too money smart and rarely let part with dollars unless they get their worth. So we will see how that plays out.

3. Using the strategic location [note this links up with No.2 on the list] to borrow vast sums of money.

• a. from IMF or other western sources instead of creating a functioning economy where those who are well off actually pay taxes. This borrowed money will again go into the pockets of rent seekers, their political patrons and other officials.

 

[AZ1]

Wtf is wrong with these idiot? Firstly refine the taxation methods and make them extremely efficient and clear. So that no theft occurs, and people know how much money went where. Then enforce the new takes and make it haram for people to avoid their taxes. Teach the young ones how bad tax aviation is. Then think about introducing new taxes.

Transparency is what people would like to see then they see this

Punjab govt to buy 70 new vehicles for public officials
https://defence.pk/pdf/threads/punjab-govt-to-buy-70-new-vehicles-for-public-officials.611669/

This forcing tax on public will backfire imran khan. One hand u increasing tax, other hand you are decreasing their income by taking more tax

 

[Pakhtoon yum]

Transparency is what people would like to see then they see this

Punjab govt to buy 70 new vehicles for public officials
https://defence.pk/pdf/threads/punjab-govt-to-buy-70-new-vehicles-for-public-officials.611669/

This forcing tax on public will backfire imran khan. One hand u increasing tax, other hand you are decreasing their income by taking more tax

It needs to be very well refined. There needs to be major tax reforms before any sane government even thinks of introducing new taxes. The vehicle thing, then those vehicles need to be 700cc

 

[AZ1]

It needs to be very well refined. There needs to be major tax reforms before any sane government even thinks of introducing new taxes. The vehicle thing, then those vehicles need to be 700cc

Dont know who is advising imran khan to increase taxes. Take any democractix country increases in taxes bring roits in country and will go against govt.in no time.l and by that time it would be too late for Imran Khan. People never gave him vote for this rather theu gave him vote so that he can capture anf bring back money that nawaz anr zardari stolen. But not.a.single penny came back and tax increases every.now.and then.

There would.be another increase in gases,cng in upcoming montj

 

[American Pakistani]

Its easy to sit outside of country and lecture.others why dont you settle in Pakistan and then argue about.

How much this filer 1% generating revenue for country? 413B.

Total collection of fbr is 2 trillion where did that come from ? If 99% are not paying taxes? They are paying AIT (Advance income tax) then they are paying extra for not being filer. In registration of car, house, even cash withdrawl more than 50,000 tax deducted from non filer.

Only a stupid would thing that 1% filer is running the country. Its your 99% who are running the country indeed.

First set the example of what non filer are paying the taxes then come to public to ask for more. Currently not providing much and asking for more is what is happening in pakistan thats why there is lack of trust otherwise Pakistan is on number 3 in paying zakaat, sadaqat in this ramadan 2019.

You are getting a cheapest price of oil, you are located in a hostile neighborhood and the security authorities are saving you against all odds, you have best road network of the region and is world class, etc etc and you are crying that there is no returns? This is pure ungratefulness, the only problem with you guys is that you guys don't want to sacrifice anything but want European or American style luxuries. Tell me why a population of 220 Million failed to establish basic manufacturing industries? Despite Pakistanis working in honda, suzuki and toyota of Pakistan or 3 plus decades, they have failed to build a single Pakistani automobile company, how come? It is purely failure of people more than the govt. Population have increase tremendously but people have failed to make products in Pakistan to provide jobs to locals only job seem to be(sorry for harsh words) population growth, every item is imported from outside.

It is easier to blame others/govt for your problem, but is that the solution?

 

[AZ1]

You are getting a cheapest price of oil, you are located in a hostile neighborhood and the security authorities are saving you against all odds, you have best road network of the region and is world class, etc etc and you are crying that there is no returns? This is pure ungratefulness, the only problem with you guys is that you guys don't want to sacrifice anything but want European or American style luxuries. Tell me why a population of 220 Million failed to establish basic manufacturing industries? Despite Pakistanis working in honda, suzuki and toyota of Pakistan or 3 plus decades, they have failed to build a single Pakistani automobile company, how come? It is purely failure of people more than the govt. Population have increase tremendously but people have failed to make products in Pakistan to provide jobs to locals only job seem to be(sorry for harsh words) population growth, every item is imported from outside.

It is easier to blame others/govt for your problem, but is that the solution?

Dude govt accusing public, public accusinh govt. Why imran khan not focus on bringing money back? And if he cant ask army to do the job. Why burdening the poor more and more just saying u did this in past now suffer and not bringing any reforms.

One hand imran khan is placing in direct taxes increases everymonth on other hand he is placing more tax in direct income.

If purchashing power come down business will also come down all over Pakistan.

 

[313ghazi]

This is a big LOL, who is the stupid who proposed this?

There are millions of users who have mobile phone connections who don't fall under the tax net due to low income. ----

You know you could file a tax return and say you only earn 50rs all year. Tax returns should be for everyone who makes money, not for everyone who makes enough money to pay tax.

Mind you the system should be very straightforward. Needs complete revamp.

I agree it's a dumb idea though. Many women don't work, they have mobiles on thier own name, paid for by husbands. Similarly kids have phones paid for by parents. This is unworkable.

 

[Pakhtoon yum]

Dont know who is advising imran khan to increase taxes. Take any democractix country increases in taxes bring roits in country and will go against govt.in no time.l and by that time it would be too late for Imran Khan. People never gave him vote for this rather theu gave him vote so that he can capture anf bring back money that nawaz anr zardari stolen. But not.a.single penny came back and tax increases every.now.and then.

There would.be another increase in gases,cng in upcoming montj

Our people also need to realize that countries arent run by magic. It requires money and alot when you are surrounded by filth, on the east and west.

 

[Sugarcane]

Please check below

http://www.customstoday.com.pk/numbers-of-taxpayers-doubled-during-last-ten-years-fbr/
Dated dec 2018

According to a report submitted by FBR in the parliament, there are only 1.074 million people who pay taxes out of 220 million Pakistanis, which is less than 1 percent of total population. The total number of filers is 1.6088 million who submit their tax returns and more than half number of them belong to salaried class.

The report further stated that in tax year 2008, as many as 7,68,173 persons submitted their returns, while only 4,77,896 persons paid the taxes, while 2,90,227 persons filed zero tax. Likewise in 2009, as many as 8,55,389 filers filed tax returns and only 5,26,867 individuals paid taxes, while 3,28,522 filed no tax. In 2010, a numbers of tax payers slightly decreased as the FBR received 8,26,559 tax returns but only 542,406 were the real taxpayers, while 2,84,153 paid nothing.

There's surely misunderstanding either at reporters end or in explanation by officials. All the individuals who don't have company/business entity doesn't mean they are salaried person - these individuals include salaried persons, expats, consultants, and people who are earning money without having company/business name. The salaried resident Pakistanis surely are very less, however that can be proven only if FBR publish ATL based on profession of individuals and location.

That's something very strange and suspicious happened. I have ATL of Dec-2016 & Last updated list of 2019.

In 2016 total tax filers were 1,334,794 - Where 94,331 were companies, 720,043 where entrepreneurs and 520,420 where individuals (salaried, consultants, self employed, expats etc.).

In 2019 list of 1,599,988 - There are only 6,843 companies, 849,260 entrepreneurs and 743,885 individuals (salaried, consultants, self employed, expats etc.).

The number of individuals is increased but companies decreased from 94,331 to 6,843 only??? Shouldn't FBR mofos be asked WTF is happening?

 

[IceCold]

Why should people pay taxes when government openly waste people's hard earned money. My heart cries when I see my money wasted on metro brt bridges in Karachi. Billions and billions are wasted on this project when a fraction of that amount would have karachi's traffic issue if properly used.

Why because A) this is not the government that was building metros and wasting tax payers money and B) This is not the way one should show its disappointment by not paying taxes. Taxes need to be kept separate. If we dont like the policies of the government dont vote for them. But considering how for the last 3 decades we kept seeing N league and PPP take turns, to me it seems people were satisfied by metros and loot mar and money laundering. Than they should pay tax as well. Paying taxes is not the responsibility of only salaried class but the entire nation who earns taxable income in a year.

 

[Yaseen1]

one reason we failed to build manufacturing industries of high technology items is real estate business.In Pakistan anyone who have savings invest money in buying plots as it is low risk investment and people are not ready to take risk whereas entrepreneurship and innovation requires taking risks and making investment in diversified and new type of businesses.Look at malik riaz he has alot of money but never setup manufacturing industry and many other billionaires have invested money in housing schemes and real estate but not take measures for setting up manufacturing industries of new type of products so only cement and construction related industry flourished here and other types of industries are neglected .We lack balance of investment between real estate,construction and other type of industries based on technology and innovative products

You are getting a cheapest price of oil, you are located in a hostile neighborhood and the security authorities are saving you against all odds, you have best road network of the region and is world class, etc etc and you are crying that there is no returns? This is pure ungratefulness, the only problem with you guys is that you guys don't want to sacrifice anything but want European or American style luxuries. Tell me why a population of 220 Million failed to establish basic manufacturing industries? Despite Pakistanis working in honda, suzuki and toyota of Pakistan or 3 plus decades, they have failed to build a single Pakistani automobile company, how come? It is purely failure of people more than the govt. Population have increase tremendously but people have failed to make products in Pakistan to provide jobs to locals only job seem to be(sorry for harsh words) population growth, every item is imported from outside.

It is easier to blame others/govt for your problem, but is that the solution?

 

[Lagay Raho]

People should not purchase a corolla for 3.7 million, see how soon they will be forced to lower their price or introduce an option which cost less.

now you are just blabbering for the sake of it. pls tell me what options we are going to get?? hyundai? they will be quite expensive too along with all other new entrants except changan cars but that remains to be seen. i was waiting for Kia Sportage but it will be 10% more expensive and not worth it at that price point, probably more than 5mil now