Rice Exporters Disapprove Government’s Proposal to End Fixed Tax Regime
Published on: June 14, 2024.
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Rice Exporters in Pakistan Reject Proposal to Change Tax Regime
In a recent development, rice exporters in Pakistan have expressed their dissatisfaction with the federal government’s proposal to transition them from a fixed tax regime to a normal tax regime. The exporters argue that this move poses significant challenges to the business community and threatens the growth of the export sector.
Rafique Suleman, an EC member of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and Chairman of the East Africa Committee of the Rice Exporters Association of Pakistan (REAP), highlighted the anomaly of tax for exporters in a letter addressed to Prime Minister Shahbaz Sharif.
Suleman emphasized that the normal tax regime for exporters would increase bureaucratic hurdles and corruption risks. He stated that this shift would make exporters more susceptible to undue influence from income tax officers, potentially leading to unethical practices and financial burdens. Furthermore, it would have an adverse impact on business operations for exporters.
The proposed change disrupts export growth and could hinder business competitiveness in the global market, warned Suleman. He stressed that exporters play a crucial role in driving economic growth and generating foreign exchange for the country. Unfavorable tax policies could discourage investment and expansion within this sector, ultimately affecting Pakistan’s export performance and economic health.
In light of these concerns, Suleman urged Prime Minister Sharif to reject the proposal and advocate for tax policies that foster a conducive business environment. He emphasized the importance of maintaining a fixed tax regime for exporters to ensure stability, reduce bureaucratic challenges, and promote a fair and transparent tax system. By doing so, the government can demonstrate its commitment to supporting the business community and fostering economic prosperity.
In conclusion, Suleman expressed hope that Prime Minister Sharif would consider the concerns of exporters and take necessary action to safeguard their interests and the broader business community.
Source: [Business Recorder](https://www.brecorder.com)
