Federation of Pakistan Chambers of Commerce and Industry react over report that caretaker government contemplating to announce mini-budget before Federal Budget 2013-14

Karachi, May 21, 2013 (PPI-OT): The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has sharply reacted over the report that the caretaker government is contemplating to announce a mini-budget before the Federal Budget 2013-14. President FPCCI, Zubair Ahmed Malik said that the caretaker government is reported to take major taxation measures to overcome revenue shortfall during 2012-13.

This may be brought in the form of a Presidential Ordinance which is unlawful and uncalled for. “How can a caretaker government impose or increase major taxes in mid of a new government’s formation and when the elected house is about to take oath”, Zubair questioned. He said that whatever is being contemplated would be illegal and the business fraternity would out rightly reject any such tax if imposed by caretaker government which has no powers to make any decision particularly after the elections held already.

He said that if the Finance Ordinance is promulgated, it would be a mini-budget before the announcement of the federal budget for 2013-14 which is ridiculous as no budget could be announced just before the federal budget.

He criticized that the expected mini-budget through the Presidential Ordinance may cover new taxation measures including ones on sales tax, income tax, withholding tax, federal excise duty and customs duty. “What else will remain if that much taxes are imposed in the mini-budget and what would new government do if the caretakers assume elected government’s job, he questioned.

Malk said that business community would not accept any such move of made by the caretaker government which does not have any TOR (terms of reference) to do that. He said that even elected government should not think about imposing many a taxes on trade and industry as economy is already in shambles and business community is struggling for its survival. He also asked the elected ones to come out with a statement and ask the caretakers to refrain from interfering in their mandate.

For more information, contact:
Syed Masood Alam Rizvi
Secretary General
Federation of Pakistan Chambers of Commerce and Industry (FPCCI)
B-1, Federation House, Main Clifton Road,
Shahra-e-Firdousi,
Karachi-75600, Pakistan
Tel: 0092-21-35873691, 93-94
Fax: +9221 3587 4332
Email: info@fpcci.com.pk
URL: www.fpcci.com.pk