The local businessmen in a meeting at Islamabad Chamber of Commerce & Industry expressed great concerns over government’s initiative to empower FBR officers to monitor production, sales of taxable goods and stock position without obtaining warrants from Magistrate through the Finance Bill 2014-15 and termed it an unwise move as instead of improving tax revenue, it would promote corruption and encourage tax evasion.

 

Chairing the meeting, Muhammad Ali Mirza, Acting President, Islamabad Chamber of Commerce & Industry said that businessmen are ready to pay tax, but they would never tolerate harassment and insult from corrupt tax officers. 

 

He said Finance Minister Mr. Muhammad Ishaq Dar has himself admitted that businessmen want to pay tax, but remain afraid of corrupt practices of FBR officers. The Budget 2014-15 had also proposed to minimize interaction between taxpayers and tax collectors by collecting tax from retailers through electricity bills. But it is very astonishing that government has again proposed to give more powers to FBR officers for tax collection, which is beyond our understanding. 

 

ICCI Acting President said that the main reason of tax evasion in Pakistan is the arbitrary powers of tax officers, which make them corrupt. Using arbitrary powers, FBR officers compel taxpayers for palm greasing and the end result is that country experiences lot of tax evasion. 

 

The businessmen strongly called upon the government to urgently revise its proposal to give more powers to FBR officers and take measures for minimizing interaction between tax collectors & tax payers, which will give confidence to taxpayers and will ultimately lead to improved tax revenue for the country.