Tax to GDP ratio will be taken to 13 percent in next 3 years: FM

ISLAMABAD, DEC 26 (ONLINE): Finance Minister (FM) Muhammad Aurangzeb has said Tax to GDP ratio will be taken to 13 percent in next three years.

He said this while addressing a joint press conference with state minister Ali Pervaiz and information minister Atta Ullah Tarar here Thursday.

He went on to say role of tax reforms is key and significant at present. Pakistan tax to GDP ratio is from 9 percent to 10 percent at present and we will take it to 13 percent in coming three years.

Compatibility between income and expenses of tax payers is imperative, he indicated.

We will reduce human interference in FBR through technology. Corruption and harassment will decrease.

We have talked of structural reforms, he added. Work in this regard is underway. Our tax to GDP target is more than 13.5 percent and we will complete it within three years.

We will continue to share whatever new steps we take as people role is very important in every type of reforms. We are reducing digitalization and human interference.

Key steps will be initiated to enhance revenue. We had accelerated pace of work on digitalization from the month of March. We are taking along implementation of digitalization since the last three to four months. We are striving less burden is shifted to the honest tax payers. There should be no excessive burden of taxes on common man.

Steps are underway to prevent tax leakage, he underlined.

We will be able to narrow tax gap in proper way, he declared.

We are seeing value chain of sugar, beverages and cement sector, he underscored.

State minister for finance Ali Pervaiz Malik said inflation is the largest tax on poor man. We will have to overcome deficit if we have to overcome this disease.