Pakistan agrees to slap billions in new taxes

[tarrar]

There is no limit in corruption by these corrupt & incompetent politicians.

 

[Dubious]

What did you think the Pakistani Foreign Reserves hit $20 billion because NS's amazing economic policies. And SS's 6 month energy crisis ending plan.

I never thought that but read any Noon supporter and he will tell you that and even invent some more incidents just to praise their boss even for things he never did or thought of!

 

[Moonlight]

Government policy on handling economic situation. Raise taxes, get loans from IMF, deposit at least 85% of the money to their bank accounts & repeat it all over again. ☹

 

[war&peace]

Government policy on handling economic situation. Raise taxes, get loans from IMF, deposit at least 85% of the money to their bank accounts & repeat it all over again. ☹

That is true

 

[Husnainshah]

Something needs to be done about these thieves who call themselves Pakistanis 'Awam'. Hypocritical thieves, I must add.
Won't pay a buck in personal taxes but feels entitled to free handouts from state.
Tax Pakistanis. Tax the suckers to death.

 

[Azadkashmir]

I want to buy a house, please tell me the difference between interest and rent?

interest you have to pay to someone who does not labor but makes money out of nothing. rent is you pay someone who is leasing you a shelter. it is true here in UK the rent is almost same price as buying mortgage.

I went to an Islamic Loan company here in the US with my parents. I see no difference between Islamic loans and interests, and this statement i've asked and told to the face of loan officers who come to the Masjid to "educate" the community.

For a loan of $390,000, with a 5% interest my parents would have paid a total of $756,698 after 30 years. My parents went to the "Islamic Loan" company, same loan amount, they would have paid $849k, but rather than interest it was called "Rent". This was back in 2003. (5% interest was pretty good back in 2003).

duh obviously it fraud by so call Islamic loan company.


by the way there are countries that have thrown out imf/world bank. they have started to print their own money without debt/interest to fund their projects.

What did you think the Pakistani Foreign Reserves hit $20 billion because NS's amazing economic policies. And SS's 6 month energy crisis ending plan.

 

[Dubious]

I want to buy a house, please tell me the difference between interest and rent?

I went to an Islamic Loan company here in the US with my parents. I see no difference between Islamic loans and interests, and this statement i've asked and told to the face of loan officers who come to the Masjid to "educate" the community.

For a loan of $390,000, with a 5% interest my parents would have paid a total of $756,698 after 30 years. My parents went to the "Islamic Loan" company, same loan amount, they would have paid $849k, but rather than interest it was called "Rent". This was back in 2003. (5% interest was pretty good back in 2003).

Yes I have realized that in USA nad UK they call it Islamic banking/ loans but there is nothing Islamic about it...My cousin went to check and he got the same !

 

[Thəorətic Muslim]

@Azadkashmir , hey I see that you quoted me but I cant see a response.

 

[takeitwithyou]

Time to eat grass for the second time in your history. The poor will pick up the burden, and will pay more taxes, the rich will ignore paying anything as usual.

 

[Azadkashmir]

@Azadkashmir , hey I see that you quoted me but I cant see a response.

sorry i dont know how to change it.

look just read andrew jackson vs bankers. what he did was use hemp paper as currency and they printed it without debt.
what if pak start to issue their own currency without borrowing after all imf/world bank print it out of thin air with interest.

 

[Stalwart]

This is what you get from corrupt and incompetent people running the government.

 

[<ScRipT>.<3DiT>]

Pakistan agrees to slap billions in new taxes
By Shahbaz Rana
Published: November 6, 2015
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PHOTO: AFP/FILE

ISLAMABAD:
In order to secure the next $502 million loan tranche from the International Monetary Fund (IMF), Pakistan has agreed to slap roughly Rs40 billion in additional taxes to bridge the shortfall in its revenue targets.

In return, the IMF agreed to give Pakistan two waivers after it failed to deliver on two key conditions — the quarterly target of restricting the budget deficit to Rs306 billion and reduction in Net Domestic Assets (NDA). With the fresh waivers, the lender has so far given Islamabad 14 waivers in the nine reviews of Pakistan’s economy, highlighting its lenient policy towards implementation of structural reforms.

Inconclusive IMF talks extended for two days

“The [IMF] mission and Pakistani authorities have reached a staff level agreement on the completion of the ninth review under the Extended Fund Facility (EFF) arrangement,” IMF’s Washington-based mission chief for Pakistan, Harald Finger, announced at a news conference alongside Finance Minister Ishaq Dar in Islamabad on Thursday.

He said the staff level agreement was subject to the approval of the IMF board, which, according to Dar, is expected to meet on December 15.

The three-year $6.2 billion EFF programme is built on five key conditions, known as quantitative performance criteria, and many structural benchmarks.

IMF to weigh in as Pakistan mulls single-stage sales tax

Pakistan met three of the five targets for the July-September period. These, according to Finger, are quantitative performance criteria on the net international reserves of the State Bank of Pakistan, reduction in government borrowings from the SBP and foreign currency swaps.

However, conditions for net domestic assets (NDA) and budget deficit targets were missed, said Finger.

In a clear hint to new tax measures, a written statement by the IMF notes that “the [IMF] mission welcomes [Pakistani] authorities’ plans to take action to attain the budget deficit and tax revenue targets for fiscal year 2015-16.” The statement underlined the need for “accelerating steps to widen the tax net.”

SBP reserves down to $14.821 billion

Speaking at the news conference, Finance Minister Dar said the Federal Board of Revenue missed its quarterly tax target by Rs40 billion, which in turn meant the quarterly fiscal deficit target was missed by Rs23 billion. However, he added that the government managed the remaining gap by “prudent management of expenditures.”

When asked about new tax measures, Dar said the government will see the results of collection in November and, if needed, would withdraw tax concessions which the government plans to phase out in the next fiscal year this year.

However, an official privy to discussions told The Express Tribune that additional tax measures to generate Rs40 billion may be announced next month. He added that the new tax measures were a certainty with only their timing as yet undecided.

Accused of fudging data to trick IMF

Sources said Dar also took Prime Minister Nawaz Sharif into confidence before conveying Pakistan’s willingness to the IMF to introduce a mini-budget to slap the new taxes.

The government has given Rs3.104 trillion tax target to the FBR and has already increased general sales tax rates to an unprecedented level to support declining revenue collection.

Dar also sought the premier’s permission to extend the ordinance issued to lower the withholding tax rate on banking transactions to 0.3% under an arrangement with the traders. Dar said the National Assembly will today (Friday) extend the ordinance for another four months through a resolution. The ordinance is set to lapse on November 7.

IMF praises SBP for financial sector’s stability

Meanwhile, Finger said that the IMF has retained its projection of 4.5% economic growth rate for this year against the official target of 5.5%. He said that the slowdown in private sector credit and negative growth in trade were the downside risks to the growth.

The IMF lowered its inflation projection from 4.7% to 3.7% for this year.

The IMF also asked Pakistan to further strengthen foreign currency reserve buffers to absorb external shocks.

Published in The Express Tribune, November 6th, 2015.

Mubarak ho noonoiyooonn $502 million ka qarzaaa

AB NAACCHHOO