PM alarmed at Rs2.4tr stuck in pending tax cases

ISLAMABAD: Prime Minister Muhammad Shehbaz Sharif and the federal cabinet members Wednesday decided to voluntarily forgo their salaries and other perks and privileges in line with the government’s austerity drive. The federal cabinet meeting was chaired by the prime minister.

The cabinet was briefed on the Staff Level Agreement with the International Monetary Fund (IMF) by Finance Minister Muhammad Aurangzeb to revive the national economy and boost the investors’ confidence.

On the economic situation, the prime minister said the country was compelled to secure another IMF package and affirmed the commitment to revive the economy and help it stand on its own feet. “We have taken a conscious decision to minimize borrowing and gradually rid the country of loans,” he said.

The prime minister said an enabling environment will be created to attract investments across various sectors, including agriculture, industries, information technology and mines and minerals. He said the Special Investment Facilitation Council was serving as a robust platform to facilitate investment in the country.

Alluding to the pending tax cases of Rs2,400 billion, the prime minister appealed to the chief justice of Pakistan to direct the courts to dispose of these cases at the earliest. He also expressed the government’s resolve to enhance the tax base and bring potential sectors into the tax net.

He said the FBR will be completely digitalized for which the process of hiring consultants will be completed by the third or fourth week of the next month. He said the digitalization process will be supervised to ensure its early completion adding that the services of honest and dedicated officers in the FBR will be duly recognized.

The cabinet also approved the formation of Pakistan International Airlines Holding Company, which is a significant step forward toward privatization of the national flag carrier.

Taking exception to the power and gas theft, he said there would be zero tolerance towards their pilferage. The prime minister emphasized the importance of collaborative efforts amongst the federal and provincial governments to steer the country out of multifaceted challenges.

Declaring the security of the country’s geographical frontiers as the red line, Shehbaz said there would be zero tolerance for any kind of terrorism from across the border. He said Pakistan desired cordial relations with the neighboring fraternal country and promotion of trade and economic relations but the use of its land for terrorism in Pakistan would not be acceptable. Shehbaz also proposed the formulation of a joint strategy with the sincerity of purpose to defeat terrorism adding that collective efforts against terrorism would help establish peace in the region and address other issues such as that of poverty.

“I am confident that the neighboring country will seriously consider my proposal and work with Pakistan to make the region an abode of peace,” the prime minister said in his speech. He also highlighted the sacrifices rendered by Pakistan in the war on terrorism and reaffirmed the commitment to wipe out terrorism as was done previously. He paid glowing tributes to the sacrifices of security forces and their families.

The meeting offered Fateha for those martyred in the recent terrorist incident in Mir Ali.

The prime minister’s statement came in the wake of recent suicide attack on a security forces’ post in North Waziristan resulting in the martyrdom of seven army’s personnel, including two officers.

APP adds: Meanwhile, the prime minister Wednesday directed the special committee concerned to formulate a package of constitutional and legal reforms to bring in judicial reforms in the country. Chairing the maiden meeting of the Special Committee on Legal and Judicial Reforms, the premier instructed the committee to formulate a strategy to simplify the civil and criminal laws.

The committee comprises Law Minister Azam Nazeer Tarar, President Supreme Court Bar Association Shehzad Shaukat, representative of Pakistan Bar Council Ahsan Bhoon, former law minister Zahid Hamid, senior legal expert Shahid Hamid and Attorney General Mansoor Awan, a PM Office press release said. Expressing his desire to provide quick and easy justice to the common man, the prime minister called for easing the taxation matters for the people, particularly the business community. He asked the committee to put forward its legal proposals to ensure effective recovery of taxes.

Shehbaz said the pending tax recoveries of Rs2,400 billion due to the court or tribunals’ orders was a matter of concern. He also sought an interim report within two weeks on the financial and tax matters. He instructed that the report to be presented by the committee should be forwarded to the relevant ministries for implementation, after consultation with the coalition partners.

Meanwhile, in a meeting with the British High Commissioner Jane Marriott, Prime Minister Shehbaz Sharif Wednesday expressed the desire to elevate the Pak-UK relationship to the next level and emphasized the importance of early conclusion of Enhanced Strategic Partnership (ESP) agreement. Jane Marriott, who called on him, highlighted the government’s priorities, in particular the importance of navigating through the economic challenges, a PM Office press release said.

In this regard, Shehbaz underscored the need to enhance bilateral cooperation in trade and investment, climate, and people-to-people contacts as well as developing convergences on regional and multilateral issues of mutual interest.

He thanked British Prime Minister Rishi Sunak and Foreign Secretary Lord David Cameron for their messages of felicitation on his re-election and said that he looked forward to working closely with the UK leadership to further strengthen the bilateral relations. He said Pakistan and the UK had longstanding historic relations and shared immense political goodwill while cooperating closely over a wide range of areas.

The prime minister called for an early resumption of PIA flights between Pakistan and the UK to help strengthen linkages between the two countries and assuage concerns of 1.6 million strong Pakistani diaspora in the UK.