Pakistan’s tax system is not functioning well because it is poorly managed. The country relies heavily on indirect taxes, which hurt low- and middle-income people by increasing the prices of basic goods. While many countries collect taxes equal to 15% or more of their GDP, Pakistan has historically struggled to exceed 10% to 11%.
Pakistan cannot achieve faster economic growth unless the tax system is reformed. The burden of taxation largely falls on ordinary citizens, while many wealthy individuals and large businesses remain outside the tax net. As a result, the country’s economy remains unstable.
Therefore, the government is requested to bring high-income individuals into the tax net and impose taxes on large landowners while exempting small farmers. Fair taxation is essential for economic stability and national development.
Shari Iqbal
Tijabaan, Balochistan
