Income documentation: CGT automation to attract investors

The automation and centralisation of capital gains tax (CGT) calculation and deduction will attract investors to the capital market and meet objectives of all stakeholders, particularly the government’s objective of documenting all incomes and sectors of the economy. SECP Commissioner for Securities’ Market Imtiaz Haider said this in a meeting with the board of directors of the Lahore Stock Exchange on Thursday. “This will generate additional tax revenue for the government by broadening the tax base and ensure full coverage of all taxable transactions in securities market while attracting foreign portfolio investment in the country,” Haider said. On demutualisation of stock exchanges, he reiterated that within 119 days of the enactment of the law, stock exchanges would have to be demutualised and there would be various time-bound requirements. Hence, the LSE should be fully geared up and initiate work on the milestones, he said.

Published in The Express Tribune, May 4^th, 2012.