KARACHI: Institute of Cost and Management Accountants of Pakistan (ICMA Pakistan) has submitted its pre-budget recommendations to the Federal Board of Revenue (FBR), Ministry of Finance, and other Government organizations for consideration in the forthcoming Federal Budget 2021-22.

The Fiscal Budget Proposals 2021-22 of the Institute covers not only Tax-related proposals including Income tax, sales tax, customs duty, and federal excise but also sector/industry related proposals covering around 16 industries. The ICMA budget booklet also has a special chapter on the proposals for Export-oriented companies.

The primary intention of these proposals is to create an enabling environment for the private sector and businesses to flourish and promote industrial productivity, investment, and economic growth in the country. It has been recommended in the proposals that in order to support ease of doing business, harmonization should be achieved between various tax and corporate laws. It is further recommended that the Government must consider mandatory cost audit for the public utilities and major segment of consumer companies to protect consumer interest and to minimize cost of doing business in Pakistan.

ICMA Pakistan recommends that the Government may allocate adequate money in the budget to those priority sectors which are essential for our country to fight against the pandemic. Special incentives, exemptions, and reliefs to SMEs and small businesses may be provided to survive and sustain themselves in the long run. ICMA Pakistan proposes further reduction in mark-up rate as well as Sales Tax rate to stimulate economic growth. ICMA Pakistan also proposed to make business registration mandatory for all the businesses in the country.—PR

Copyright Business Recorder, 2021