ISLAMABAD: Securities and Exchange Commission of Pakistan (SECP) has highlighted difficulties faced by corporate sector due to prevailing tax regime.
The SECP chairman called upon the chairperson of Federal Board of Revenue (FBR) on Wednesday to discuss a number of taxation policy reforms that are essential for the development of Pakistan’s capital markets, corporate sector, non-banking finance industry, REIT and insurance sector.
While presenting the proposals, the SECP chair highlighted key issues and challenges being faced by the SECP regulated sectors due to prevailing taxation regime.
He emphasized that growth and development of the formal economy was largely dependent on providing a level playing field where individuals and businesses were encouraged to participate through regulated and documented sectors of the economy.
The FBR chairperson while discussing the proposals agreed that documentation of the economy was a key priority of the government.
Development of the formal economy through fiscal incentives and removal of taxation anomalies could ultimately increase the country’s overall revenue generation capacity.
It was agreed that the SECP and FBR would meet again, within a fortnight, to take the discussions forward.