News
Sunday, June 16, 2013
Opposition savages ‘budget for the capitalists’By Ijaz Kakakhel
ISLAMABAD: Opposition legislators in the National Assembly on Saturday termed the annual budget 2013-14 a deviation of PML-N from its own manifesto, contradicting the party’s inflated claims during their electioneering. They said the budget was a “jugglery of figures with nothing for the poor.”
The legislators claimed that the PML-N presented a budget where incentives were announced for the rich whereas the poor have to bear the whole burden. People have complained about the increase in GST rate, petroleum products, construction material, taxing the salaried class, tax on education and teachers and many others.
Opening debate in the National Assembly, Opposition leader Khurshid Shah dubbed the budget “a budget for capitalists” and claimed it lacked incentives for the poor, farmers, working class and laborers. “GST increase will result in price hike. There is no relief for the farmers and peasants and labourers. Most of the proposals were unrealistic and difficult to implement.” He questioned how the government could complete the Housing Colonies project with the meager allocations proposed in the budget. “Will this project be completed in decades? And how many youth will benefit from the Qarz-e-Hasna scheme with meager allocations?” he questioned while seeking an explanation for the load shedding.
He urged the government to pursue measures towards self-reliance instead of looking towards others for help. He regretted that the government had no mechanism of dealing with the menace of terrorism on which the country has lost Rs70 billion. The Finance Minister did not mention any strategy to control terrorism and meet the extra expenditures being incurred due to this menace, said Shah.
He described the Charter of Democracy as a great achievement after the Pakistan Resolution and 1973 Constitution and said, it was due to wisdom and top political leadership and the reconciliation policy that power was peacefully transferred from one civilian regime to another.
MQM’s Parliamentary Leader in the NA Farooq Sattar said the PML-N totally deviated from its manifesto and the pre-election promises. “The budget is totally against the expectation of the people. There is no impact on people with the change in government. The GST actually increased from 16% to 19% while the government is claiming 17%. This is a budget for privileged class while poor have no room in it. This is a traditional budget and the former opposition leader Chaudhry Nisar Ali Khan forgot his claim about petroleum levy, which he had termed an illegal tax. There is nothing about how to deal with terrorism,” said Sattar.
Pakistan Tehreek-e-Insaf leader Dr. Shireen Mazari said the budget focuses on indirect taxes rather than widening the net of the direct taxes, which is in contravention of the constitution that envisages equality of status and opportunities for all citizens. She was of the view that salaried class‚ laborers and small traders have been ignored in the budget and the government failed to announce any increase in minimum wages. She said the expected increase in electricity tariff would also put more burden on honest consumers who are already paying for corruption and theft.
Opening the debate on behalf of the treasury benches‚ Minister for Planning and Development Ahsan Iqbal said this is not an ordinary budget as the government got only five days after assuming power. He said after electoral victory of PML-N, market capitalisation of Karachi Stock Exchange increased by five billion dollars and there was an increase of seven hundred points after the budget, which is indicative of the confidence of the business community in the economic policies of the government.
The minister said in the backdrop of nosedive in almost every sector of the economy‚ the new government had two options: either to seek more loans and print notes that would have caused more inflation or go for measures to treat the economic malaise. He said the government is pursuing a policy that would help the country get rid of foreign assistance. He said the government is determined to introduce transparency and eliminate corruption.
Answering a question raised by an opposition member, Federal Minister for Finance Senator Ishaq Dar said the 1931 Act allowed the government to collect any increase in tax/GST/custom duty immediately with the laying of the (finance) bill in the National Assembly. He said it was a tradition since 1947 that with the laying of the finance bill in the house, the enhanced tax collection started with immediate effect.
Referring to the points raised by PTI leader Makhdoom Shah Mahmood Qureshi, Finance Minister Ishaq Dar said that this practice was being carried on when Qureshi was also a part of the government and being a minister, he never objected to this practice.
Law Minister Zahid Hamid read out the 1931 Act, stating that the law allowed collection of levy/taxes on provisional basis. He said that the finance bill also had an attached document, declaring that the tax collection would start by June 13. He said that the opposition members should have read the finance bill before criticising it.
Earlier, speaking on a point of order, PTI deputy parliamentary leader Shah Mahmood Qureshi criticised the collection of enhanced GST and other taxes without the passing of the finance bill by the parliament.
“The Finance Minister should clarify why the raised tax collection had been started since June 13 without the passage of the bill which the finance bill provides would be collected by July 1. The house is yet to even debate the budget proposals. This tax collection is illegal and a violation of the constitution,” Qureshi said. He said collection of increased taxes without enactment of the finance bill into law was tantamount to usurping the authority of the parliament and even the Supreme Court had also taken notice of the matter.
The lawmakers of Pakistan Tehreek-e-Insaf (PTI) and Jamat-e-Islami (JI) observed separate walkouts from the National Assembly proceedings.
Speaking on a point of order, deputy parliamentary leader of PTI Makhdoom Shah Mahmood Qureshi said the finance minister should explain why the parliament was being undermined by the officials of Federal Bureau of Revenue (FBR) and since the finance bill had not been passed by the parliament, how could the FBR tax people with increased General Sales Tax (GST).
Qureshi, later, staged a token walkout from the house along with the other PTI legislators.
Meanwhile, the lawmakers of JI also staged walkout from the house against what they called the withdrawal of relief package for the people of Malakand Division.
Sahibzada Tariqullah of JI said that the relief package for the people of Malakand had been withdrawn by the federal government.
Tariqullah announced token walkout in protest to the government’s decision.
Later, the lawmakers of both the parties returned to the house.
Courtesy www.dailytimes.com.pk