Pakistan Business Council congratulates Finance Minister Ishaq Dar on his principled decision to restore the adjustment of sales tax paid in provinces to be adjusted against output tax payable to the federation. This will avoid price changes that businesses would have had to implement in order to offset the impact.
The Pakistan Business Council advocates a simpler unified value-added sales tax system with a central revenue collection and adjustment mechanism to avoid future disputes between provinces and the federation. This could be a part of a national consensus on economic policies that finance minister referred to in his budget speech and which PBC has offered to facilitate.