Pakistan government lock horns with IMF over additional taxes levy

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Pakistan government lock horns with IMF over additional taxes levy

ISLAMABAD- The deadlock between the IMF team and Pakistan economic gurus seems to persist as the international money-lender refuses to let go of its condition of levying additional taxes on Pakistani people, reported 24NewsHD TV channel on Tuesday.

According to sources, the IMF link has given a target to the Federal Board of Revenue to levy additional taxes link and set Rs6,000 billion collection target.

The lending agency has asked the government to introduce extra taxes in the upcoming budget of fiscal 2021/22.

The sources said the government had termed Rs6,000 billion tax target unrealistic pleading to the lender that it was hard to levy additional tariffs on already economically stressed people.

However, talks are still ongoing with the IMF link, the sources added.

FBR Chairman Asim Ahmed said that no additional tax would be introduced in the next budget. He vowed to provide tax relief in the upcoming annual financial plan.

He said instead of raising tariffs, the tax recovery would be increased through enforcement, explaining that the government would widen the tax net in a bid to meet the IMF link target.

On Sunday last, Federal Finance Minister Shaukat Tarin had said the International Monetary Fund has tightened the screws around Pakistan by showing a rigid attitude towards the country.

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