Federal Finance Minister Muhammad Aurangzeb said on Thursday that tax-to-GDP ratio must be increased to bring positive changes in the economy.
Speaking at a press conference in Islamabad alongside Minister of State Ali Pervez and Federal Minister for Information and Broadcasting Attaullah Tarar, Aurangzeb stated that aligning the income and expenditure of taxpayers was essential for economic stability.
He said tax reforms were crucial for the economy. “Right now, tax-to-GDP ratio stands at 10 percent and it will be increased to 13 percent in the next three years,” he said.
He said digitalisation would be inculcated in the system of FBR to make the system more transparent.
Aurangzeb said the process of structural reforms was going on and the target to increase tax-to-GDP ratio was 13 percent which would be achieved in three years. Meanwhile, he added, all steps would be shared with the public to know their views.
Moreover, he said, the digitalisation process had been in process for the past few months. “It is a sincere effort of the government to put less burden on the working class,” he highlighted.
He noted that a tax amendment bill had already been presented in Parliament, which aims to reduce human intervention in the Federal Board of Revenue through the use of technology, thus reducing corruption and harassment.
