BOTH Prime Minister Shehbaz Sharif and Finance Minister Muhammad Aurangzeb gave clear-cut assurances to the nation that the next programme of the International Monetary Fund (IMF) will be the last one but now the latter has revised his statement making it conditional to success of efforts to increase tax collection meaningfully. In an interview, the Finance Minister asserted that they will have to start producing results during the next two/three months as far as reforms are concerned.
The patience of the people has stretched to extreme limits due to the mounting burden of taxes and price-hike triggered by measures that the four successive governments had to take in fulfilment of the pledges made to the Fund. Indications to this are the nation-wide protests against rising inflation and unending upward revision of the electricity tariff as well as reports about a sharp increase in street crimes in the wake of back-breaking energy bills. Gangs of criminals are openly looting people and snatching their belongings, especially cell phones and motor bikes, on the plea that they have to pay their heft electricity bills. All this means people of Pakistan have already paid the heaviest price for so-called reforms that have pushed millions of them below the poverty line and therefore, for them there is no concept of failure to improve the financial and economic health of Pakistan. People of Pakistan have contributed their share to the national kitty and it now depends on the ability of the rulers to tax the elite and influential sections of the society to take the process of reforms to fruition. Finance Minister Muhammad Aurangzeb has the necessary background, experience, vision and resolve to bring about the desired change and we hope he will not disappoint the nation. The traditional approach of taxing the salaried class and the corporate sector to benefit some privileged classes amounts to slaughtering the hen that lays golden eggs. Propaganda about filers and non-filers notwithstanding, the fact remains the under-privileged classes of the society are paying more than their due share of direct and indirect taxes and it is now time to make sacred cows to contribute their share. Another IMF programme (after conclusion of the forthcoming package) based on the traditional approach of taxing the taxed could spell havoc to the social fabric of the country and, therefore, the next one should be the last one.
