Senate Standing Committee on Finance approved recently unveiled tax amnesty scheme with several amendments on Tuesday. A meeting of the committee presided over by Senator Farooq Naek discussed the Voluntary Declaration Domestic Assets Bill, 2018, the Foreign Assets (Declaration and Repatriation) Bill, 2018, and the amendments in Income Tax Ordinance, 2001 and the Protection of Economic Reforms Act 1992.
The amendment was made in rate of liquid assets not repatriated and it was increased to 10 percent by majority vote and rate applicable on immovable properties was also increased. Senator Saleem Mandviwalla showed reservations over amendments in the Protection of Economic Reforms Act (PERA) 1992 on the grounds that this law was never part of the money bill.
The amendment in the PERA 1992 prohibits depositing cash in foreign currency accounts by a non-filer. Senator Saleem Mandviwalla said that majority of the foreign currency account holders are non-filers and non-resident Pakistanis are allowed to open foreign currency accounts. He asked the rational of amendment in the PERA 1992. "If a non-resident Pakistani buys dollars from open market, deposits the cash in his foreign currency account and withdraws it abroad, is there any law to check such practice?" Musadik Malik asked the officials of State Bank and received the answer that there was no law to check it.