Staff Reporter Islamabad
President Islamabad Industrial Association (IIA) Shaikh Tariq Sadiq has said that the taxation measures of government will hit food security therefore, the government should withdraw 400 percent hike in the income tax rate on turnover of flour mills.
Talking to business community on Sunday, he said that wheat flour is a major staple and part of our daily diet which should remain in the buying power of the masses facing unemployment and reduced income due to pandemic and runaway inflation.
Shaikh Tariq Sadiq said that the government has proposed an increase in the income tax rate on the turnover of flour mills from 0.25 to 1.25 percent, which is a 400 percent increase in one go that would cause a sharp rise in flour prices.
He demanded that the government should immediately withdraw the unjustified decision to save the general public from high inflation otherwise the food insecurity will engulf the country in a way that has never happened before which can result in unpredicted consequences.
The IIA President said that the sales tax on bran was abolished four years ago which was welcomed by the flour millers but in the current budget a sales tax of 17 percent has been proposed on bran which will also give rise to inflation resulting in restlessness among the masses.
“Flour is a basic need of the people and the high cost of flour has a direct impact on the life of the common man which is finding it difficult to bring food to the table, therefore, the implications of the recent decision should be reconsidered,” he said.
Shaikh Tariq Sadiq demanded that the government should immediately withdraw the decision to save the people from further miseries braving facing unprecedented inflation.