Ahmed Hassan Moughal President, RafatFarid Senior Vice President and Iftikhar Anwar Sethi Vice President, Islamabad Chamber of Commerce & Industry have called upon the government to take strong measures for reducing tax gap in order to realize the actual tax potential of Pakistan and improve its tax revenue.They said that Pakistan has substantial potential to enhance tax revenue without imposing new taxes or increase tax rates, but the only requirement was to take steps to reduce tax gap and create a conducive environment for tax compliance
ISLAMABAD (Pakistan Point News / Online - 08th May, 2019) Ahmed Hassan Moughal President, RafatFarid Senior Vice President and Iftikhar Anwar Sethi Vice President, Islamabad Chamber of Commerce & Industry have called upon the government to take strong measures for reducing tax gap in order to realize the actual tax potential of Pakistan and improve its tax revenue.They said that Pakistan has substantial potential to enhance tax revenue without imposing new taxes or increase tax rates, but the only requirement was to take steps to reduce tax gap and create a conducive environment for tax compliance.
They said that a recent World Bank document titled "Pakistan Revenue Mobilization Project" has pointed out a 50 percent gap between actual and potential tax receipts in Pakistan while Pakistan's tax revenue potential would reach 26 percent of GDP if tax compliance was to be raised to 75 percent, which was a realistic level of compliance for developing countries like Pakistan.
