I think it is unwise for the FBR and the federal government to target small food retailers in a bid to increase tax collection. These small traders are already paying provincial and municipal dues and raising their costs will ultimately lead to further price hikes for consumers. Given the already astronomical food prices and widespread deprivation, the federal government would surely want to avoid further economic pain. In my view, the role of the federal government as it concerns tax collection needs to be reduced and rationalized. The FBR should only be collecting customs and duties and the federal basic income tax. All other taxes should be fully devolved to the provinces. And, federal taxes should only focus on big companies and the super-rich. As far as retail goes, luxury goods and expensive imports ought to be the federal government’s target and not daily essentials.
M Hashim Khan
Mansehra
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