General

CJP Hints At Reviewing Tax Amnesty Scheme

Chief Justice of Pakistan Justice Saqib Nisar on Thursday hinted at reviewing the government’s latest tax amnesty scheme.
Hearing a case related to the ownership of state land, Chief Justice Nisar remarked that that Supreme Court will take stern action against individuals who have parked assets abroad and maintain foreign bank accounts.
During the hearing, he also observed that the court will examine the government’s recent amnesty scheme, adding that they will not let state assets be given away like this.
The chief justice also directed to fix for hearing soon the case related to the assets and accounts of Pakistanis in foreign countries.
On April 05, Prime Minister Shahid Khaqan Abbasi announced the amnesty scheme for those who are not paying income tax amid to increase tax base and revenue.It is based on tax reforms package including CNIC number becoming NTN tax number, reduction of income tax rates, previously undeclared assets could be declared with 5 percent penalty on local liquid assets, two percent on foreign cash assets, three percent on assets/fixed property abroad and dollar accounts to be declared and kept abroad at 5 percent penalty along with one percent advance Income tax on all property transactions and monitoring of taxpayers.The PM said that the lower number of tax payers were causing problems, therefore the amnesty scheme was an effort to increase tax collection.
On April 8, the President Mamnoon Hussain approved an ordinance to implement the tax amnesty scheme.
The Opposition parties including PPP and PTI had however opposed the move and demanded the government to withdraw the scheme. They have also raised the issue in the Parliament.