The ever-increasing tax burden in Pakistan is suffocating the middle class and small businesses alike. Despite repeated promises of tax reform, the reality is that ordinary citizens continue to bear the brunt of heavy taxation. The recent surge in indirect taxes, such as those on fuel, electricity and everyday commodities, is exacerbating the financial strain on households already struggling to make ends meet.
The government’s reliance on indirect taxes disproportionately affects lower and middle-income groups, who have no choice but to pay higher prices for essential goods. Meanwhile, the issue of broadening the tax net remains unresolved. The wealthy and influential segments of society, including certain industries and large agricultural stakeholders, often evade taxes, leaving the burden squarely on salaried employees and small entrepreneurs.
This lopsided tax system not only slows economic growth but also discourages investments. High taxes on utilities and imports are forcing many businesses to downsize or shut down, resulting in job losses and further economic instability. It is high time the government implements comprehensive tax reforms that prioritize fairness and transparency.
Pakistan’s tax policies need to be people-centric, ensuring that taxation promotes growth. Without immediate reforms, the economic divide will only widen, pushing more citizens into poverty.
Shabir Qureshi
Rawalpindi
