Summary KCCI says GST hike will cause high inflation, Sattar says no tax imposed on the rich.
ISLAMABAD (Online) - Muttahida Qaumi Movement (MQM) leader Dr. Farooq Sattar on Wednesday slammed the federal government for increasing general sales tax (GST) from 16 to 17 percent.
Reacting to the federal budget 2013-14 issued by the government, Dr. Sattar said that the government’s decision to increase the GST would trigger a new tsunami of inflation and price hike.
He said that the GST should have been brought down to 16 percent.
Dr. Sattar said that no tax was imposed on the privileged class. He said that the whole burden was transferred to the middle class and less privileged section of the country.
He was of the view that n cut was announced in tariff of electricity, gas and water.
One per cent increase in General Sales Tax (GST) as announced in the federal budget for the 2013-14 fiscal year would lead to high inflation, Karachi Chamber of Commerce and Industry (KCCI) leader Siraj Qasim Teli said on Wednesday.
In his reaction at the KCCI office about the federal budget 2013-14, Siraj Qasim Teli said that GST would directly put burden on the people. He said that it was a budget made by the bureaucrats, violating the law.
“We will identify the mistakes made by the government in the budget,” he said.
The KCCI leader said that the real stake holders were not consulted this time about the budget proposals. He, however, said that it was a good budget on issues relating to water, power and motorways.
He also welcomed the government’s decision to continue the income support programme.
