All the concerted departments are requested to submit the proposals for federal budget 2013-14 by today. Last year, the budget proposals included increase in salaries and mergence of adhoc relief fund. Letter Number CNo 4(3)ITP/2013-28230R by FBR, Pakistan. Last year in 2013, the budget was read by Dr. Hafeez Sheikh.
The letter included that: Budget exercise 2013-14 has been initiated and the process of formulation of Budget Proposals has to be completed in the context of current tax/economic practices in vogue. The suggestions/proposals should be meant to ameliorate the irritants and to rejuvenate the economic growth via-a-viz state revenues. The following areas can be identified as revenue potential for enhanced efforts of optimum realization of taxes:-
i.) Broadening of Tax Base;
(ii) Measures for improvement in tax to GDP ratio;
(iii) Rationalization/analysis of tax exemptions;
(iv) Capital Gain Tax (CGT);
(v) Enhancement of Minimum taxation regime;
(vi) Withholding taxes and its application for economic development in the country;
(vii) Rationalization of Presumptive Tax Regime and abolishing oldie concept of the Final Tax;
(viii) Option for taxability under the normal tax regime of all the sectors of economy;
(ix) Effective monitoring of the claims/issuance of refunds;
(x) Taxation of the non-residents, transfer pricing and royalty etc;
(xi) Taxation of Human Resources providers companies;
(xi) Taxation of e-Trading; (xiii) Realization of potential in the commodity trading;
(xiv) Taxation of Ranking Sector vis-A-vis lending borrowing ratio (being highest in the world);
Beside these, many other things were included in the letter and FBR demanded that all the proposals should reach their office by 20th March 2013 so that the bugdet exercise is started properly.Islamabad: Pakistan Budget 2013-2014 proposals have been demanded by Federal Bureau of Revenue. Budget will be announced earlier as compared to the previous years. The budget proposals for 2013-14 are meant to change any of the tax area and any amendment which the government sections demands.