Bajwa urges govt to expand tax base in order to break 'begging bowl'

[wiseone2]

Yeah tej bahadur told this to every one a few months back

there is a reason people don't pay taxes

 

[BetterPakistan]

there is a reason people don't pay taxes

So its better you enhance your tax structure first instead of telling us what to do

 

[somebozo]

there is a reason people don't pay taxes

There is no benefit of paying taxes in Pakistan when they cannot even fix a sewer.
It is more like government sponsored theft.

 

[Code_Geass]

Bring Cantonment Board under Provincial and You have your Taxation 2x times..

please explain..

we need a better tax system, current system is very complicated and not easily understandable to a common person and direct taxes should be increased instead of sales tax that has been imposed by provincial government on many services

 

[wiseone2]

NATIONAL DEBT OF INDIA


$ 978,972,036,354





Source: Indian Government Data

Interest per Year
$61,788,150,000
Interest per Second
$1,959


Debt per Citizen
$819
Debt as % of GDP
47.26%
GDP
$2,071,500,000,000
Population
1,195,000,000

Pakistan debt is high but Pakistan is starting on its growth path, debt will have to be accumulated in order to expand the infrastructure but the room for economic expansion is great

60% of Indian debt is internal. The interest on the internal debt is paid to Indian citizens.

 

[Realistic Change]

I think Gen. Bajwa was little bit more diplomatic than he needed to be; he should call spade a spade as he has no political constituency where he has to buy votes to get elected.

Fact of the matter is that under ingenious Dar; Pakistan’s economy has missed all the targets set by PMLN's Govt for the fiscal year 2016-17 except for Inflation - of course; as the ruling elite's businesses are focused on end consumer products (as opposed to long term infrastructure investments) as they are easy to wind up and wrap up when fleeing country becomes unavoidable.

Almost all major economic indicators worsened during the year and this was not a surprise as the trend had been continuing for some years even though oil prices plummeted during the major part of PMLN's term, since there is no planning to bring both; Informal nor Illegal economy down; both outpacing formal economy.

There is a reason for above; when on average huge majority of Parliamentary seat costs about about Rs.50 - Rs150 million (lets average it out Rs.100 million for 900+ Provincial & National Assembly seats) the estimated total investment of legislators seats comes to be around Rs.90,000 Million to just "serve" the nation - remember they have at max 4-5 years to get this back and also make profit over it to be able to contest next elections - no formal economy instrument gives ROI that can make this Rs.90,000 Million investment viable - only underground economy can!

Now Respected Gen. Bajwa Sb should have been more blunt as this precarious situation concerns his institution a lot as both major political parties (PPP&PMLN) have their plan B outside Pakistan, they will drown the country and live happily in London and Dubai without blinking an eye, however fact of the matter is this situation further exacerbate if Zar & Shar keep playing in sequels of "Illusion of Jamhooriyat" under current decayed and rotten system which is worst degenerated for of all systems combined.

The above is not the only factor; but one of the most major ones causing inertia into the vicious cycle of underperformance by and large at both; micro & macro levels.

@Shane @Arsalan @El_Swordsmen @Moonlight @PakSword - just FYR

 

[blain2]

The army should look into it's own matters and curb corruption within the institution.
The establishment is paving way for civil war by making contradictory statements during this period of civil military tensions. The economy is failing because the stupid 11 people sitting in the GHQ don't get along with NS. What would have happened if NS stayed in the office for another 9 months till election? What have we achieved so far by ousting him from the office?

Why is the Army being blamed for NS' outcome? To your point about "9 months", the same argument can be made for any corruption. Let's wait another 9 years till its sorted.

Sir, if the Army makes deals with politicians, it cannot deride politicians making deals with politicians either. After all, that is what politicians do, right?

The Army is not deriding the politicians for making deals with other politicians. Here the Army chief made a case for increasing the tax net. When has the Army ever stopped the politicians from making deals with each other?

 

[VCheng]

The Army is not deriding the politicians for making deals with other politicians. Here the Army chief made a case for increasing the tax net. When has the Army ever stopped the politicians from making deals with each other?

In other words, the Army is chiding incompetent buffoons for not widening the tax net, an issue so difficult that even the more competent Army itself cannot touch it during the long periods of absolute power during Martial Law. A bit wishful, and perhaps even slightly disingenuous, don't you think?

 

[Verve]

In other words, the Army is chiding incompetent buffoons for not widening the tax net, an issue so difficult that even the more competent Army itself cannot touch it during the long periods of absolute power during Martial Law. A bit wishful, and perhaps even slightly disingenuous, don't you think?

Economy was in a much better condition during Musharaf's era ... pick out any figures and run a variance analysis! But you won't do that, Mr Pakistan Hater!

 

[The Eagle]

Security-economy link: ‘Sky high debt’ worries COAS

By APP
Published: October 11, 2017

KARACHI: Expressing concern over the country’s ‘sky-high’ debt, Chief of Army Staff General Qamar Javed Bajwa said on Wednesday national security and economy were interlinked, as he called for broadening tax base and bringing in financial discipline to break the ‘begging bowl’.

Addressing a seminar on ‘Interplay of Economy and Security’ in Karachi, Bajwa said Pakistan had a much improved security situation on the internal front as the security forces had defeated the challenges to the writ of the state, but warned that there was apparent fragility at places.

General Bajwa spoke as the keynote speaker at the seminar organised by the Inter-Services Public Relations (ISPR) in collaboration with the Federation of Pakistan Chambers of Commerce and Industry.

Pakistan ‘needs’ $31b this year to stay afloat

The army chief said that in today’s world, security and economy were interlinked and that the nations were reviewing the old dilemma of ‘guns versus butter’ i.e. how to achieve a balance between economic viability and national security.

However, he added that Pakistan never had the luxury of such a review in the wake of the crises one after another in the last four decades. “We have to continuously ensure a viable balance between economy and security. Only then will we arrive at a future that ensures sustained peace,” he stressed.

The army chief said Pakistan’s economy was showing mixed indicators as “the growth has picked up, but the debts are also sky high”. Infrastructure and energy, he added, had improved considerably, but the current account balance remained not in Pakistan’s favour.

“The common man across Pakistan needs reassurance of benevolent and equal treatment from the state,” he said, adding that it was high time for the country to place economic growth and sustainability at the highest priority.

Gen Bajwa remarked that Pakistan is capable of creating sufficient fiscal space to address structural problems through tax reforms, documenting economy, diversifying the export base, and encouraging savings to finance a level of investment that could sustain growth rate higher than the rise of population.

“For a secure future, we must be ready to take difficult decisions. We have to increase our tax base, bring in fiscal discipline and ensure continuity of economic policies,” he said. “We have to ensure that Balochistan, Interior Sindh, Fata (Federally-Administered Tribal Areas), southern Punjab and Gilgit-Baltistan also join us on the trajectory of growth and then move forward.”

He warned that at present, Pakistan was a strategically challenged state and external actors were attempting to assert control and dictate the country’s security priorities, “which have strong linkages to its economic future”.

The importance of Karachi

He continued, “In today’s world, security does not come cheap. It is dependent upon economic prowess. It is here that our entrepreneurs must contribute by producing and exporting more. We have done our part on the security front, now it’s up to you (entrepreneurs) to take initiative and turn the economy around.”

The task at hand was difficult, the army chief noted, but added that the Pakistani nation had done it before. “We are just finding our feet with improved security,” he went on. “If any nation can survive what we went through, it can also make its mark when the going is relatively easier.”

Gen Bajwa told the audience that Pakistan had a much improved security situation on the internal front. “The challenges to the state’s writ have been defeated, though residual threat still resides. The situation is stable but there is apparent fragility at places,” he noted.

He underscored the need for a comprehensive effort to pursue the anti-terror National Action Plan (NAP) and remove vulnerabilities before those could turn into threats.

“Many of the planned measures, if implemented timely, will contribute directly to the economic and even political stability of the country,” he said, emphasising that police and judicial reforms were the ‘obvious examples’.

He pointed out that due to the sustained hard work of the army and other law-enforcement agencies, the improvement in security environment had started to pay off as the country hosted many mega events in the fields of sports and culture this year.

“Recently, we not only had the most peaceful Muharram in years but the Bohra community validated our claim of improved security by selecting Pakistan for their annual gathering. Similarly, early harvest projects, both CPEC (China-Pakistan Economic Corridor) and non-CPEC, are nearing completion, with Pakistan Army providing security to our Chinese friends,” he added.

Dar’s legacy: a heavily-indebted Pakistan

The army chief also spoke about the importance of madrassah reforms, saying, “We cannot afford to leave a large segment of our youth with limited options.” Madrassahs, he continued, must enable their students to become useful members of society.

At the micro-level, he said nothing exemplified the linkage between economy and security better than the city of Karachi – the economic capital of Pakistan that generates a significant part of the national revenue.

“When our enemies want to choke Pakistan, they try to destabilise Karachi because when Karachi bleeds, Pakistan bleeds. It is because of this sensitivity that peace in Karachi has been our top priority,” he said, assuring the countrymen that Karachi would remain “safe and sound now”.

The army chief said the South Asian region, particularly Pakistan’s immediate neighbourhood, had failed to take off due to peculiar security challenges.

“The region will sink or sail together. I want to convey to our neighbours to the east and to the west that our destinies are inextricably linked,” he warned.

“We are making a deliberate and concerted effort to pacify the western border through a multitude of diplomatic, military and economic initiative,” he said. “We have also expressed and demonstrated our genuine desire to have normal and peaceful relations with India, however, it takes two to tango.”

Gen Bajwa said that the CPEC was a complete development platform and there would never be any compromise on it. “This is the future of our people, a vital national interest on which we will never compromise, regardless of the loudness of opposing voices.”

The CPEC, he added, had the potential to act as a powerful springboard for shared development in the entire Central Asia-South Asia (Casa) region. “It is also an example of regional cooperation and a break from politics of confrontation – we want all to benefit from this project,” he added.

(WITH ADDITIONAL INPUT FROM NEWS DESK)

 

[blain2]

There is no benefit of paying taxes in Pakistan when they cannot even fix a sewer.
It is more like government sponsored theft.

This is not a comment for you specifically. Its a general statement. Paying taxes is not a benefit. Paying taxes is an obligation. When you pay zakat, do you expect that money to benefit you? Your taxes benefit others and likewise their taxes benefit you. That is how it should work.

There are resources being used and fixed that most don't even think about. Okay a sewer is dysfunctional for you, how about the road you took out of your house? How about the overpass you crossed? How about the 3rd rate schools and hospitals (where you may not send your own children or family members) where millions of Pakistanis do send their loved ones to? Regardless of how dilapidated it maybe, it is being used and it is there because of some tax revenue.

I think not paying is a disservice to Pakistan. You lose your right to critique the country because as they say in Amreeka, "put your money where your mouth is". Pakistan will NEVER change or prosper, if our "what have my taxes done for me" mentality does not change.

In other words, the Army is chiding incompetent buffoons for not widening the tax net, an issue so difficult that even the more competent Army itself cannot touch it during the long periods of absolute power during Martial Law. A bit wishful, and perhaps even slightly disingenuous, don't you think?

It is wishful perhaps but it does not take the responsibility away from those in governance today. The balance of payment in the last military government was actually better than it is today. I have already provided the reasons for why a civilian government is the only entity that can push tax reforms through.

 

[VCheng]

It is wishful perhaps but it does not take the responsibility away from those in governance today. The balance of payment in the last military government was actually better than it is today. I have already provided the reasons for why a civilian government is the only entity that can push tax reforms through.

I can only hope that the Army will find it possible (some day) to restrict itself to what Article 245 says and leave the responsibility of taxation and all other political matters with those where it rightfully belongs. Until that happens, things will remain as abysmal as they are.

 

[blain2]

I can only hope that the Army will find it possible (some day) to restrict itself to what Article 245 says and leave the responsibility of taxation and all other political matters with those where it rightfully belongs. Until that happens, things will remain as abysmal as they are.

Army is restricted by it. Being restricted does not mean that a member of the NSC cannot make a policy statement. The civilian government actually would agree with it. Nobody in Pakistan can deny that the tax net needs to be increased. We were shamed by no less than Hillary Clinton on this when she was in Islamabad a few years ago.

 

[VCheng]

Army is restricted by it. Being restricted does not mean that a member of the NSC cannot make a policy statement. The civilian government actually would agree with it. Nobody in Pakistan can deny that the tax net needs to be increased. We were shamed by no less than Hillary Clinton on this when she was in Islamabad a few years ago.

Actually, Sir, for all my criticism, anything that helps Pakistan improves its finances would be welcome at this point. Any damn thing. The only problem is that such exhortations translate poorly into the actual world of dollars and cents, as Pakistan's record shows. Claiming that things are somehow different now is similarly dubious.

 

[Maxpane]

he should shut his mouth