Transporters agree to lesser increase in taxes

FBR to take up the matter with finance ministry.


Our Correspondent July 26, 2013
The talks came following protest from transporters against the government’s decision to increase income tax on goods transport vehicles from Rs1 to Rs5 per laden weight and on passenger vehicles from Rs100 to Rs500 per seat. PHOTO: FILE

KARACHI: The Supreme Council of All Pakistan Transporters, the apex body of cargo and passenger vehicle owners in the country, has agreed to a one-rupee increase in tax on transport vehicles in talks with the Federal Board of Revenue (FBR).

Apart from this, it has also agreed to a 100-rupee increase in tax on passenger vehicles.

The talks came following protest from transporters against the government’s decision to increase income tax on goods transport vehicles from Rs1 to Rs5 per laden weight and on passenger vehicles from Rs100 to Rs500 per seat.

An 18-member delegation of the transporters including representatives of the oil tanker, truck and bus owners’ union under the umbrella of the Supreme Council of All Pakistan Transporters met with FBR Chairman Tariq Bajwa and other high officials on Thursday.

The taxes were increased by the Pakistan Peoples Party-led government in the budget for 2012-13, but the transporters did not accept the revision. The new PML-N government also announced the same increase in taxes in the 2013-14 budget and issued an SRO to enforce them.

Supreme Council of All Pakistan Transporters Chairman Captain (Retired) Asif Mehmood told The Express Tribune they had agreed to a one-rupee and 100-rupee increase and the FBR chairman would inform the Ministry of Finance about the proposal.

“The Ministry of Finance and National Assembly had earlier approved the increase in transport taxes. Now that the FBR has agreed to a lesser increase, it needs to be approved by the National Assembly and finance ministry, which will take time,” said Mehmood.

He termed the increase in taxes totally unjust and unfair which could not be imposed in any condition.

Council General Secretary Hanif Marwat said they opposed the tax hike, believing it would not only be unfair with the transporters but also the general public because it would have its effect on them as well.

The transporters across the country were united and fully supporting the decision of the Supreme Council, he said and warned of a countrywide strike if the demand was not met.

Published in The Express Tribune, July 27th, 2013.

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