Less profits?

Pharmacies in Pakistan are protesting against the recently introduced one percent advance tax on several life-saving medicines. These are the same traders that have been enjoying huge profits (nearly 15 percent on every medicine sold) since the 1990s just because the government has set retail prices of medicines.

Many chemist shops don’t hire qualified pharmacists; they usually purchase medicines from manufacturers on credit and don’t invest in improving storage conditions. As a result, their running cost is quite low. On the other hand, they enjoy high profits. These points suggest that the new taxes aren’t unfair at all.

Shahryar Khan Baseer

Peshawar