ISLAMABAD, Jun 25 (APP): Federal Minister for Finance and Revenue, Muhammad Aurangzeb on Tuesday said that the government would make efforts to ensure that next International Monetary Fund (IMF) program was the last one and formulate such economic policies that move the country towards self-sufficiency.
He said that retailers would also be brought into the tax net to increase revenue through reforms in the Federal Board of Revenue (FBR).
Winding up discussion on the budget 2024-25 in the National Assembly, he said on the directions of Prime Minister Shehbaz Sharif, the process of simplicity and austerity would be continued in the upcoming fiscal year 2024-25.
The minister said action would be taken against the retailers from the 1st July failing to register them with FBR Tajir Doost Scheme.
He said the budget for the next fiscal year was aimed at reducing the fiscal deficit by focusing on measures that enhance the government’s revenues and reduce unnecessary expenditures.
Muhammad Aurangzeb pointed out that the home grown reforms program was the basis of the next year’s fiscal budget in order to steer the country out of a difficult economic situation.
The minister said the reforms included enhancing tax to GDP ratio to thirteen percent, SOE reforms, public private partnership and energy sector reforms.
He said the government was seriously committed to this plan and started its implementation, adding that all the stakeholders would be taken on board about the implementation of the plan.
The minister said a committee headed by him had been constituted which would present recommendations in that regard including closing down the ministries or their merger and devolution to the provinces.
He announced that the pension expenditures would be brought down through pension reforms in future.
The minister said the digitization process of FBR was being accelerated.
He said legislation was being introduced in the parliament to bring changes in the boards of the power sector, adding
the privatization of the PIA had been taken forward.
Highlighting other points of the home grown reforms plan, the minister said these included targeted social protection, broad based fair taxation system and initiatives for the health and education sectors including skills development.
Muhammad Aurangzeb was appreciative of the recommendations forwarded by the Senate for inclusion in the next year’s budget.
He said the government had decided to include the recommendations in the budget keeping in view the public interest.
The minister said these included providing an opportunity to the non filers for personal hearing before implementing the measures of SIM blockage and ban on foreign travel.
He said the stationery items would remain exempted from tax.
The minister said the current reduced rates for Hybrid-Electric vehicles would remain intact, adding under Export Facilitation Scheme 2021 policy, zero rating for the local suppliers was not being abolished.
Muhammad Aurangzeb said the government was fast tracking reforms in the FBR and for this purpose seven billion rupees had been earmarked in the budget.
He announced honoraria equivalent to three months basic pay for various departments including the staff of National Assembly, Senate, PID, Radio Pakistan, PTV and Associated Press of Pakistan (APP) who performed duties in the parliament house during the budget session.
The minister said our armed forces had rendered immense sacrifices for the defense of the country, adding
they were standing firm to meet the internal and external threats.
He said national security was the governments’ foremost priority, assuring that the armed forces would be provided with the necessary resources.
The minister said agriculture; education and health sectors had been prioritized, adding that the proposals such as exempting charity hospitals from sales tax would be given a serious consideration.