'Provinces should not suffer for FBR's failures'

PAC Chairman Khuhro opposes NFC cuts, urges federal delegation of tax powers to Sindh

HYDERABAD:

Chairman of Sindh Assembly's Public Accounts Committee (PAC) Nisar Ahmed Khuhro has asserted that provinces should not be penalised for the Federal Board of Revenue's (FBR) shortcomings in tax collection. Addressing a Pakistan Peoples Party (PPP) meeting in Larkana division, Shikarpur district, on Saturday, Khuhro strongly opposed any reduction in the National Finance Commission (NFC) award under the pretext of shortfalls in tax recovery.

"If the FBR is unable to recover the taxes, the centre should delegate this authority of collection against services and goods to Sindh," the PAC chairman suggested, assuring the federal government that the province will demonstrate its capability in this matter. He stressed that the Sindh Revenue Board (SRB) is competent to undertake the task as a substitute for the FBR and that any enhanced revenues collected would be handed back to the federal government.

Khuhro noted that the SRB is already recovering over Rs300 billion annually from Sindh. He reminded the Pakistan Muslim League-Nawaz (PML-N) government that while the constitution allows an increase in the NFC share, any curtailment is prohibited by the law. "The PPP will defend this right of the provinces as enshrined in the 18th constitutional amendment," he said.