VAT Is Important For Increasing Revenues

ISLAMABAD: Federal Finance Minister Shaukat Tarin said implementation of Value Added Tax (VAT) is important to increase the revenues and said customs check posts will be establish to curb the smuggling.

Addressing a tax conference organized by FBR, Tarin said Pakistan’s economy couldn’t afford further tax relief whereas implementation of VAT could raise the tax ratio from 6 to 8 percent in national income.

Talking to media, finance minister said VAT could increase revenues up to Rs.600 billion. He said tax relief on medicines and other items should be reviewed and added that corrupt tax officers will be treated strictly.