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Javid Law Associates
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Should Filers Boycott Tax Returns From Now on? [Opinion]

5 min read
Legal Expert
Should Filers Boycott Tax Returns From Now on? [Opinion]
Perhaps filers should stop filing their tax returns. Even better, they should stop paying taxes on their taxable income given how the federal government continues to vicariously use taxpayer money to finance their posh lifestyles. The Federal Board of Revenue (FBR) has decided to purchase over 1,000 new Honda City cars for their Grade 17 and 18 tax officers by using Rs. 6 billion of the money they squeezed out of the hardworking salaried class in an attempt to improve performance on the road. Who benefits from all this? The tax authority two weeks ago issued a letter of intent for the Rs. 6 billion procurement. The first phase will see 500 vehicles delivered, with an advance payment of Rs. 3 billion already confirmed. The Revenue Division collects almost 98 percent of its tax revenue from online sources like banking and direct cuts from companies paying tax-deductible salaries to their employees on a monthly basis. A mere 2 percent of tax collection comes through field formations. So why the big spending on 1300cc vehicles at the expense of the national exchequer? Old habits die hard. The Finance Division has so far maintained a ‘do as you please’ stance on FBR to do their own thing. I’m more surprised how the International Monetary Fund has remained silent on such reckless expenditure. It used to be quite vocal on Pakistan’s money but since last year it has kept those thorny lips shut. We’re operating under the illusion of a slow-poisoning decline in the inflation rate at the expense of back-breaking tax policies that hurt the common man. Who makes these decisions? The Prime Minister has remained tight-lipped and continues to play a win-win narrative for both the federation and the general public. FBR should immediately withdraw the purchase order or continue to face hate. If the procurement can’t be avoided, it should consider buying 70cc motorbikes to save face. Giving cars to employees to improve performance standards is nothing more than a big waste of taxpayer money. The views expressed here do not necessarily reflect the company or its shareholders.
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Written by the expert legal team at Javid Law Associates. Our team specializes in corporate law, tax compliance, and business registration services across Pakistan.

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