If you became the leader of pakistan tomorrow.....

[mAd_ScIeNtIsT]

Re: If you became the leader of pakistan tomorrow…

@psyah

Agreed that was the intent of my comment earlier make salaries electronic so income tax becomes automatic. It can be set-up in a week but it will take months to enforce.

That’s not workable. For that to work everyone who works would need a bank account, and Pakistan is not at that stage yet.

@rizla86

You realise you’re emphasising a system based wholly on indirect taxes? How is that supposed to bring relief to the poor? At least with income tax you have your income bands and tax rates set accordingly. If it were down to me I would try to invest all resources into bringing the income tax system up to scratch and bringing the self employed under the tax net. I’d make sure property tax was properly implemented and tax the agricultural landlords too.

It’s too difficult to collect direct tax in Pakistan. Too many ooportunities for corruption and tax dodging. Indirect taxation minimises the number of taxpaying entities and makes it easier to fully collect from them all.

Theoretically, with increased revenue collection, it should be possible for the state to fund relief or social benefits for the poor.