ISLAMABAD: June 25,2023; After increasing the tax target by 215 billion rupees to Rs 9.4 trillion to appease the International Monetary Fund (IMF), the federal budget of RS 14.4 trillion for the next financial year 2023-24 was passed with majority vote by the National Assembly.
The National Assembly meeting was held on Sunday to approve the Finance Bill 2023-24.
During the National Assembly session, presided over by Speaker Raja Pervez Ashraf, total 9 amendments were made in the Finance Bill, out of which 8 amendments were added by the government and one by the opposition.
The target of tax collection for 2023-24 has been increased from Rs 9.2 trillion to Rs 9.4 trillion. The pension payment has been increased from Rs 761 billion to Rs 801 billion, Under NFC, the provinces will get Rs 5.3 trillion instead of RS 5.2 trillion.
Maulana Abdul Akbar Chitrali, an opposition member of the National Assembly belonging to Jamaat-e-Islami, demanded that the Finance Bill be sent to the Islamic Ideological Council for Islamic evaluation. I opposed taking the opinion of the Council of Islamic Ideology on it because of the interest involved.
Finance Minister Ishaq Dar proposed an amendment in Clause 3 of the Finance Bill, which was approved by the National Assembly by a majority vote.
According to the amendment, a 3-member committee will be formed to resolve disputes including 62,000 pending cases worth Rs 3200 billion. FBR will not be able to file an appeal against the decision of the committee.
In a bid to sign stalled agreement with IMF, the government made several changes in the federal budget presented on June 9. The finance minister informed the house that the revenue collection target of the government has been raised tax collection target to Rs 9.4 trillion and total expenditure target has been set at Rs 14.4 trillion, the share of the provinces has been increased from 5.2 trillion to Rs 5.3 trillion.
The amendment presented by Maulana Abdul Akbar Chitrali was approved, according to which the Chairman Standing Committee will have the authority to use a 1200 cc vehicle. It should be noted that earlier it was allowed to use 1300 cc to 1600 cc vehicles.
Meanwhile, the Finance Minister presented an amendment to the Petroleum Development Levy Ordinance, which was approved by the National Assembly by majority vote.
Under the amendment, petroleum development levy limit has been increased from Rs 50 per liter to Rs 60 per litre. The federal government will have the power to impose a levy up to Rs 60 per litre.
In order to discourage the use of old technology, fans with old technology will be taxed at Rs 2,000 from January 1, while old bulbs will be taxed at 20 percent from January 1.
New taxes of RS 215 billion have been imposed under further amendments in the Finance Bill, meanwhile the National Assembly has unanimously approved the Finance Bill 2023. Besides, during the meeting, the House also approved supplementary grants for the financial year 2021-22, financial year 2022-23.
The Minister of Finance also announced honorarium equal to 3 months basic salary for the staff of the National Assembly and the officials of other departments appointed on its session.
Speaking in the National Assembly, PPP Member National Assembly Khurshid Shah said that ban on two pensions is a good move,
Ishaq Dar in reply to Khurshid Shah’s views on taxation on agriculture sector said that the government has as much interest in the agriculture sector as anyone else, I also have the same priority, but if some steps have to be taken for the development of the country, it is also necessary, to sit together after the budget. We will solve it.
Ishaq Dar said that we desperately need other reforms like pension reforms, in this budget our Rs 800 billion are allocated for pensions, This is a huge amount,he said ,adding a few years ago this allocation used to be half. He said that we have to move towards reforms or there will come a time when this burden will become unbearable.
Ishaq Dar said that government employees working on contract will have the option to choose the larger of the two pensions. This is a very old problem that should have been fixed long ago,
The government has banned government officials from drawing more than one pension. It was a huge burden on the poor country.
The finance minister added that it is a principle that you should get one pension, but here people who are in different government positions have been taking multiple pensions, these pensions have been going on for many generations, some people in the country are army chiefs at the same time , taking the pension of the president and the chief executive.
Meanwhile, Federal Minister for Defense Khawaja Asif while addressing the House said that we have spent a very patient time, the IMF phase will also pass, a new era will begin. In which economic stability will return.
The defense minister explained that the impression is being given that the members of parliament are being taken on a special plane for Hajj, and ordinary pilgrims will also be on this flight.
Due to the budget, the last Hajj flight was booked for the MPs, the MPs are going on the Hajj at their own expense.
Khawaja Asif demanded the opposition to introduce the bill related to the privileges of the Senate Chairman and said that such privileges cannot be given in the current situation.
The Minister of Defense further said that this bill cannot be justified or defended, the bill passed in the Senate should not be supported by this House.
Important parliamentary leaders including the Prime Minister were absent from the House, Bilawal Bhutto, Asif Zardari, Raja Riaz, Akhtar Mengal, Amir Haider were also absent.
In the House, 62 members were present on the government benches while 2 members were present on the opposition benches.
