Overseas International Chamber of Commerce and Industry (OICCI) will issue a full feedback after studying the details of budget. However, on first review we find the budget proposals well below our expectations from the new government, said Abdul Aleem, Secretary General OICCI.
Commenting on the federal budget proposals for the year 2013-2014, he said that it appeared that the opportunity of tax reform had not been availed by the new team and instead the government resorted to old tactics of taxing the already taxed at higher rates.
However, he criticised the increase in sales tax and turnover tax. "Raise in sales tax and turnover tax will impact all our members negatively and we find this discouraging for future investments," he added. Aleem said that it find the proposals lacking incentives to current honest taxpayers, nor additional tax credit has been suggested for promoting new investment, except those in the special economic zones.-PR