Low taxation of property
The recent revelation of massive investment in property by Pakistanis in Dubai of over $11 billion has not only raised issues of the exit of capital from Pakistan but also…
Taxing the auto industry
Economists of the 20th century believe that a thriving industrial sector is crucial to the development of a modern economy. In 2010, Cambridge economist Ha-Joon Chang observed that development without…
Tax reforms: Aurangzeb has a difficult road ahead
Reportedly, the IMF expects FBR tax revenues to grow by over 30 percent in the upcoming fiscal year (FY25). However, achieving such growth is simply impossible without broadening the tax…
Transparency, taxation & reforms
Macroeconomic conditions have improved over the course of the program. Growth of 2 percent is expected in FY24 given continued recovery in the second half of the fiscal year. The…
Myths about taxation
Do our esteemed finance minister, prime minister, policymakers at the Federal Board of Revenue (FBR), and economic managers know why the tax-to-GDP ratio is significantly higher in developed countries compared…
Paradigm behind an ideal tax-to-GDP ratio
One point of commonality in all twenty-three International Monetary Fund (IMF) programmes secured by Pakistan to date is an emphasis on raising tax revenue with more recent programmes seeking not…
Charter of national revival
Pakistan needs more than a Charter of Economy. It needs a Charter of National Revival, based on a 4D strategy: Deregulate, Devolve, Deradicalize and Digitize. Deradicalization is a prerequisite to…
Income not consumption taxes: Applying a ‘national income tax’ for a welfare state
‘The fundamental injustice of consumption taxes, relative to income taxes, is that the well-off can postpone them by saving, while the poor pay cash on the nail. “Justice too long…
FBR: Dwindling tax collection
Pakistan has one of the world’s lowest tax ratios, stemming from five main weaknesses: complexity, a narrow tax base, low compliance, inefficient tax administration, and low and declining provincial tax…
Determining fair income tax base
According to the latest data available on the website of Pakistan Telecommunication Authority (PTA), as on December 31, 2023, total number of SIMs issued was 189 million (78.93% mobile teledensity);…
