Masses braving storm in the name of reform
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PEW disapproves Government’s cold economic management
Masses not responsible for Govt’s financial dilemma: Dr. Murtaza Mughal
Govt asked to tax rich instead of poor: Presdient PEW
The Pakistan Economy Watch (PEW) on Wednesday said masses are not responsible for the financial difficulties of the government therefore they don’t deserve to be punished for blunders of economic managers.
Government has failed to boost revenues; it is not bothered about tax reforms and has decided to conveniently tax poor to raise funds which is not the best solution, said Dr. Murtaza Mughal, President PEW.
He said that the government can focus on controlling the massive electricity theft, collecting bills from chronic defaulters, and introduce reforms to improve efficiency of the ailing power sector.
Government should stop taxing poor; rather it should tax the wealthy according to their income regardless of the source of their income, he added.
This will help bring wealthy agriculturists and those enjoying unjustified exemptions into the tax net that have been enjoying luxuries without contributing anything to the national exchequer, he added.
Dr. Murtaza Mughal said that unless government broaden tax-base, stop FRB from colluding with the tax defaulters and introduce proper agriculture tax, it will not overcome fiscal troubles.
The government lacks the will, guts and strength to take on the influential but they can revisit strategy for the sake of their own survival.
He said that indirect taxation is already worst in Pakistan leaving households under pressure due to surging fuel and food prices and the recent hike in beyond their capacity to pay.
Terming the hike as “Gunda Tax,” he said that government has no proper plan to settle economic turmoil therefore it is extracting whatever money it can from those who cannot absorb the rise.
The simple formula of painful upward revision in the power prices will not help government to raise much-needed funds as it will frustrate masses punished without any crime, stalled economic growth and cause more trouble for the government, he observed.
PML-N should walk its talk as its leaders had promised an independent and an aid-free policy during election campaign but now all their economic moves are counter-productive.
