Arrest only to be made over Rs50m tax fraud: Kayani

ISLAMABAD: Giving a policy statement in the National Assembly, Minister of State for Finance and Revenue Bilal Azhar Kayani Friday said new safeguards against investigations and arrest had been introduced for citizens in tax fraud cases.

He said the new safeguards had been introduced on the directives of Prime Minister Shehbaz Sharif under which no arrests would be made during the inquiry process and any individual facing allegations would be given the opportunity for hearing. He said only the commissioner Inland Revenue would be authorized to permit investigations following the inquiry process.

Moreover, Kayani said arrests during the investigation stage would only be made in sales tax fraud of over Rs50 million but only after approval of by a three-member FBR committee comprising the FBR members.

He pointed out that Inland Revenue officers of assistant commissioner rank were already enjoying unsettled powers to arrest tax defaulters.

“On directives of the prime minister and after having inputs from the Senate Standing Committee on Finance, we decided to further safeguard the citizens,” he said.

Kayani said the government’s target was to make the current IMF programme the last one but it was possible only by enhancing exports and ensuring inclusive and sustainable economic growth.

“The government’s target is to make the current IMF program the last one and this will only be possible by enhancing exports and ensuring an inclusive and sustainable economic growth,” Bilal Kayani said during the budget debate.

Delivering his maiden speech in the National Assembly only a few days after assuming the charge of minister of state for finance and revenue, he said the budget for next financial year was aimed at further consolidating the economic gains, providing relief to the people and continuing the journey of reforms.

Minister for Finance and Revenue Senator Muhammad Aurangzeb was also present in the House.

Kayani said a critical aspect of the next year budget was tariff reforms, aimed at enhancing productivity of industries.

He said allocation for Benazir Income Support Program had been enhanced from Rs592 billion to Rs716 billion saying 10 million deserving families would be benefitting from the budget.

He said while the salaries of government employees had been enhanced by 10 percent, at the same time, the government employees have been provided with relief on taxes as was promised by Prime Minister Shehbaz Sharif.

He said as the government took over, there was double digit inflation — up to 38 percent — but the regime accepted the challenge.

“We have been able to reduce the inflation rate to more than our expectations due to the measures taken with the cooperation of our allies,” he said, adding the government had been achieving all the economic targets.

JUIF MNA Noor Alam Afridi called for further increase in the defence budget saying the proposed allocations were not sufficient in view of the prevailing tense situation in the region.

Afridi said the government should reduce the development budget and more allocations be made for the defence sector.

Participating in the discussion on the budget, Nafeesa Shah emphasized the need for extending support to the agriculture sector.

Minister for Religious Affairs Sardar Muhammad Yousaf, taking the floor, termed the budget balanced and said matters were moving towards improvement as a result of difficult decisions taken by the government.

He said over 115,000 Pakistani pilgrims performed Hajj this year.

He said Saudi Arabia had awarded the award of excellence to Pakistan for making excellent arrangements for Pakistani pilgrims. He said process had been started to make arrangements for the next year’s Haj, emphasizing that the Saudi guidelines will be fully followed.

Sardar Yousaf voiced serious concern over the denial of basic human rights and alleged discrimination against the people of Hazara, particularly in Mansehra district.

He said the region’s population of over 300,000 lacked access to clean drinking water, gas, and proper infrastructure.

He urged the Khyber Pakhtunkhwa government, led by Pakistan Tehreek-e-Insaf (PTI), to stop marginalizing the region and ensure fair treatment.

He also called for reconstruction of education and healthcare infrastructure destroyed in the past earthquakes and demanded prompt compensation for those affected by the Suki Kinari Dam project.

In his remarks, Junaid Akbar Khan said the budget carried nothing for the people. He said the people of Khyber Pakhtunkhwa had rendered immense sacrifices in the war on terrorism.

Syed Rafiullah urged the government to review family pension reforms, emphasizing that there should be no limitations on pensions for spouses and disabled children.

Sahibzada Hamid Raza said health and education had been ignored in the budget.

Minister for Board of Investment Qaiser Ahmed Sheikh, said economic indicators had improved and there was reduction in inflation and increase in remittances.

Saba Talpur proposed support to the farmers and reduction in the prices of seeds, fertilizers and pesticides. Minister of State for Religious Affairs and Interfaith Harmony Kesoo Mal Kheal Das said the government had imposed no tax on the agriculture sector.

He called for joint efforts to put the country on the path of progress and development and also urged the provincial governments to fulfill their responsibilities in providing facilities to people.