Multan Chamber of Commerce and Industry (MCCI) has said that business community will not accept wealth tax. "Government should shelve plans to impose this tax that is unjustified under current circumstances," President of MCCI Shahid Naseem Khokhar said on Tuesday.
In a press statement, Khokhar said that the income that has already been taxed "should not be taxed again as this tax is not practised anywhere in the world. "He warned that government would face resistance from the entire business community of the country if wealth tax is imposed. Shahid Naseem Khokhar said that government should lift 17 percent GST imposed on import of machinery and plants, as it will hamper growth. He suggested that fixed tax be imposed on small businesses so that authorities can concentrate on the sectors that need to be explored. "We want tax on income irrespective of the source," he added. He said solution to the growing unemployment lies in industrialisation of the country and "we are ready to play our part if enabling environment is ensured".
"The culture of mini-budgets should be discouraged after the announcement of federal budget, as it adds to uncertainty," said Shahid Naseem. He demanded imposition of taxes on exempted sectors without which the collection target of Rs 1952 billion will be impossible to achieve, which will leave authorities with little option but to trouble the existing taxpayers. "Due to falling revenues and growing expenditure; oil prices are projected to rise by 50 percent. The government will have to finance deficit of six percent with domestic sources due to reluctance of donors which calls for across-the-board reforms otherwise we may face a default-like situation," warned Khokhar.