Businesspersons bemoan 'anti-economy budget'

Business and industry leaders while expressing serious concerns over the federal budget 2024-25, have labelled the budget as anti-business and anti-economy, reported 24NewsHD TV channel.

LCCI President Kashif Anwar giving his opinion on the budget claimed that this budget will increase inflation and create difficulties for the economy and the industry as well. He said that the government cannot run the economy with this budget that was presented by Finance Minister Muhammad Aurangzeb.

LCCI chief said that the traders’ community will talk to the government regarding the budget proposals. He told the government that the construction industry has to be run otherwise the country’s economy will not run. Kashif Anwar claimed that the government has imposed a capital gains tax on real estate while advance tax for traders and retailers was increased to 2.25 percent. He told the government that if it makes taxation difficult, then tax evasion will increase. He said that the government has increased the tax rates which was not pro-economy.

Kashif Anwar demanded that the government bring zero ratings to the standard rate but also noticed that businessmen were in trouble. He demanded that in order to bring the business community into documentation, simplify the tax system and no one will be afraid of paying taxes.

He said increasing the regulatory duty on products whose raw materials are imported will increase the cost of production. Kashif Anwar urged the government that all types of smuggling, including cigarette smuggling, should be stopped. He said that the increase in the minimum wage from 32,000 to 36,000 will further increase the cost. He lauded the government for solar import which will help end the rumors about hike in solar prices. Kashif Anwar advised the government to give benefits to non-filers so that they voluntarily enter in the tax net system.

Meanwhile, FPCCI President Atif Akram Sheikh has also raised objections on the budget. FPCCI rejected the increase in levy on petroleum products. He said the construction sector has already suffered a lot and increasing the tax burden on the sector will further increase the difficulties. He demanded that relief should be given in power sector in the budget. He said the industry cannot run on 16 to 17 cents per unit.

Senior Vice President FPCCI Saqib Fayyaz said that the Finance Minister has earmarked a large amount for K4 project in Karachi which was a welcome step. Saqib Fayyaz said earlier the fixed tax on the exporter was one percent, now the exporter also has to pay 25 to 45 percent tax which was bad omen for the exporters.

KCCI president Zubir Motiwala while commenting the federal budget said that tax on real estate was a wrong step. He said there was talk of new taxes worth three and a half thousand billion rupees which will increase inflation and further weaken the industry. He said the government has allocated less amount for IT sector. He rejected three slab on income tax system. He said KCCI will submit proposals after finance bill. He urged the government to rationalize the power prices. He lauded tax on mobile set and other luxury items.