World Bank communicates concerns

The World Bank expresses reservations about draft of the reformed general sales tax (RGST) bill 2010.

ISLAMABAD: The World Bank (WB) has expressed its reservations about the draft of the reformed general sales tax (RGST) bill 2010. The WB has also asked for a copy of the agreement between the federation and the provinces regarding the RGST. The draft of the RGST bill is currently under review.

According to a letter written by WB representative Misato to Secretary for Finance Salman Siddique, WB professors Christophe Waerzeggers and Rabecca Miller reviewed the draft and noted their recommendations and concerns. Their primary concern was the lack of interaction between taxation and legislation.

They added that the laws were too complicated and the draft contained issues and mistakes that had to be addressed before the formalisation process.

Published in The Express Tribune, October 27^th, 2010.