Muhammad Zubair castigates govt over tax-laden budget

KARACHI: The former governor of Sindh, Muhammad Zubair, voiced his concerns regarding the newly imposed taxes on the salaried class in the budget 2024-25, ARY News reported on Tuesday.

In a discussion on ARY News’ program “11th hour,” the former governor criticized the unequal tax imposition by the federal government, stating that both direct and indirect taxes have affected salaried citizens.

“If everyone was taxed equally, no one would object,” Zubair said.

He pointed out that the new budget includes not only a tax but also an additional surcharge on the salaried class.

Responding to a question, he noted that the current government is unpopular among the salaried and middle-class sections, who traditionally do not favor the Pakistan Peoples’ Party (PPP) and Pakistan Muslim League-Nawaz (PML-N).

Addressing the issue of rising electricity bills, Zubair predicted that prices of electricity bills are expected to increase by 20 percent.

“If a consumer have to pay a bill of Rs 100 today, it will be Rs 120 soon. People do not understand the reason behind constant increase in bills,” he remarked.

Opposing the nature of taxes imposed, Zubair expressed argued that despite higher taxes, the revenue remains unchanged, making them ineffective.

This budget marks the third for the current government, which, according to Zubair, has failed to reduce its expenses while increasing taxes.

He questioned the absence of reforms, asking, “Where are the tax reforms, where are the energy reforms, where are the issues of privatization of institutions?”

Zubair also criticized the government’s handling of the boards of directors for distribution companies, pointed out that the individuals appointed two years ago led to increased losses, and now the government plans to change those boards.

“Two years ago, they boasted about the merits of their appointments. Now, they’re [the current government] reversing those actions. Who is responsible for this?” he questioned.

The former governor accused the government of making politically motivated decisions that have caused damage, describing their actions as though they stumbled upon governance unexpectedly.

Reflecting on previous budgets, Zubair highlighted that the public was burdened in the 2022 budget with the promise of improvement within a year, a promise reiterated in the 2023 budget.

“Now, they are burdening the general public in budget 2024 without any economic growth, the purchasing power of the middle class has vanished, with 10.5 million people falling below the poverty line, and the number is increasing,” he concluded.

source https://arynews.tv/muhammad-zubair-castigates-govt-over-tax-laden-budget/