Salaried class pays more tax than exporters?
#tax #middleclass #mariamemon #sawalyehhai #arynews
#tax #middleclass #mariamemon #sawalyehhai #arynews
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00:00 It was not hidden that Pakistan is one of those fortunate countries where the middle class, the salaried class pays more taxes,
00:07 they carry more of the economic burden and the elite in the country are less likely to pay taxes.
00:13 Recently, a news report came out, Shabaz Rana Sahab did a full research in Express Tribune and confirmed all these facts
00:20 that the salaried class, the middle class in Pakistan pays approximately 200% more taxes than the rich class in this country.
00:28 What does this story say? It says that the salaried class in Pakistan has paid more than 200% income tax to retailers and exporters in Mali in 2022-2023.
00:39 The salaried class has paid a tax of Rs. 264.3 billion in the last Mali year.
00:45 Whereas the tax paid by exporters and retailers was Rs. 89.5 billion, which is less than Rs. 175 billion from the salary class tax amount.
00:59 In the last Mali year, the salaried class exported Rs. 27.7 billion, but paid only Rs. 74 billion in the income tax amount,
01:08 whereas the retailers paid Rs. 15.6 billion. The salaried class is on the fourth place in the withholding tax.
01:15 In the last Mali year, the FBR collected more than Rs. 2 billion in the withholding tax amount,
01:20 which was equal to 61% of the total income tax.
01:28 So this is the crux of this story.
01:31 And obviously, when you don't tax your voter base, they will be very happy with you.
01:36 And we saw a glimpse of this when a press conference was held.
01:39 The representative of the Lahore Chamber, Mr. Naeem Mir, happily said that the business community has a lot of trust in Mr. Dhar.
01:49 And he should be the caretaker PM.
01:52 So the business community, the salaried class, the retail sector, which does not have to pay tax,
01:56 it is obvious that they will have a lot of trust in you.
01:59 And what did Mr. Mir say? Listen.
02:01 The comfort level of Mr. Dhar with the business community may not have been or will not be of any other minister of treasury.
02:10 In these specific days, the decision to be made should be made in favor of Mr. Dhar.
02:17 And Mr. Dhar should be appointed as the caretaker PM.
02:21 The class that has access to the government in this country, how easily they convince their conditions or extend their relief under those conditions.
02:36 For example, let's take an example of the past.
02:40 Marim Nawaz Sahiba tweeted on 31st July, 2022.
02:45 And at that time, Mr. Mifta Ismail was the Minister of Finance.
02:48 And he wrote that Mr. Mifta should take back the tax on the electricity bill.
02:52 Mr. Tajir is upset and complaining that he hopes you will find a solution.
02:58 Now you see that policy level decisions affect all the important indicators of the economy, our tax collection.
03:07 But how do we solve it? How do we run it?
03:09 That Marim BB tweeted to the finance minister at that time and said, "Just see, Mr. Tajir is upset."
03:15 And obviously, the minister tweeted after a while, that is, Marim BB's tweet comes on 8/28 and the minister's tweet comes on 8/45.
03:25 And he says, "The Prime Minister has also called me and instructed me to ensure that small traders are completely satisfied with the new tax law.
03:34 This I shall do tomorrow in order to satisfy the small traders as well."
03:39 So, yes, in this way, to keep the voter base happy, tax relief is given on tweets as well.
03:45 But no, the middle class, you, us, the salary-paying class, will pay more than 200% tax.
03:50 And will continue to pay until our hard-earned money is spent.
03:53 In the program, Mr. Shabaz Rana is with us.
03:56 Along with him, Mr. Shehzad Saqquram, both are experts in economics.
03:59 Let's start with Mr. Shabaz Rana.
04:01 I saw your story, Mr. Shabaz. First of all, congratulations.
04:03 You did the story about DARSAB.
04:05 Then you did this story.
04:06 I knew this sorrow would come.
04:10 So, should we accept this?
04:13 Because it is not a political will to restructure the tax system.
04:19 So, will the middle class carry the burden on their shoulders for some time?
04:23 Yes, the middle class should carry the burden.
04:26 Because it is our fault.
04:27 We don't raise our voice.
04:28 We don't talk together.
04:30 We don't speak for our rights.
04:32 So, it is our fault.
04:33 We don't speak for our rights.
04:34 We don't have a new leader.
04:36 We don't have access to meet Mr. Nawaz Sharif in London.
04:41 We don't have access to speak to Mr. Mariam Nawaz.
04:44 We might have access to you and me.
04:45 But we are journalists.
04:46 We speak less for our rights.
04:48 We speak more for the rights of others.
04:50 This is the reason why the biggest burden is on you and me.
04:53 We are all on the side of the middle class.
04:55 In the last two to three years, 75% electricity prices have increased.
04:59 In the last two to three years, the increase in Pakistan's inflation has never happened in the history of Pakistan.
05:04 And the gold on gold is that my taxation has increased twice in a year.
05:09 Last year, in June, Mr. Miftais Mal was kind enough to increase our income tax rates.
05:14 This year, Mr. Ishaq Dar was kind enough to increase our income tax rates.
05:19 Now, the situation is that we have to pay all the expenses.
05:23 We have to pay medical bills.
05:25 We have to pay our children's fees.
05:27 We have to pay all the other expenses.
05:29 And the biggest thing is that before we can get our gross income,
05:35 we have to pay a tax cut of 35% of our income.
05:40 What is left for us?
05:41 In today's time, what is the maximum tax cut of 35%?
05:46 If your monthly income is 5 lakh rupees,
05:49 you have to pay 1.5 lakhs to the state of Pakistan.
05:51 Why do you have to pay?
05:52 Because they need cars for 86 vizras, they need offices, they have to run such a big cabine,
05:57 there are united communities, they have to pay billions of rupees of budget.
06:01 So who has to pay?
06:02 You and I have to pay because with me and you, there is no Maryam Nawaz.
06:05 With me and you, there is no Mian Nawaz Shif who will speak for us.
06:08 As a result of that, the situation is that the class that has the highest tax in Pakistan,
06:14 its income, the exporters, you know what is the rate of the exporters?
06:17 1% of the gross receipt.
06:19 That is also an expense, it is not their income.
06:22 Tax is that when you have a pure income left after the expenses,
06:25 you will pay on that, I am talking about the business class.
06:27 All the gross is paid on us, right?
06:29 So he exported 27.7 billion dollars this year.
06:33 And since their export was less in dollars than last year,
06:37 but since the amount of rupees was less,
06:39 they increased their income by 100 rupees per dollar.
06:43 Their income increased a lot in rupees.
06:46 And how much did he pay in tax?
06:48 73.6 billion rupees.
06:50 It is not a matter of shame for the people of this country.
06:52 And not only is their tax rate less, it is 1% of their rate.
06:55 They get subsidized loans.
06:57 Even today, if the rate of State Bank of Pakistan is 22%,
07:00 then the rate of their different financing schemes is still less.
07:04 Probably, it is 19%.
07:06 22% is the rate of interest rate.
07:11 When you go to the bank, if you and I take a loan,
07:13 we will not get less than 27-28%.
07:15 They will get above 19%.
07:17 A few months ago, till February,
07:19 they used to get 10 rupees per unit of electricity.
07:22 They used to get subsidies.
07:23 You and I did not get it.
07:24 So if you look at the situation,
07:26 and how much tax do retailers pay?
07:28 0.5%.
07:30 Did they get only 5000 tax?
07:31 Only 3000.
07:32 Only 3000?
07:33 100 rupees per day.
07:34 Our leader...
07:35 He was shouting in the tweets.
07:36 He was shouting, "We have such a burden, 3000 per month."
07:39 When Miftai Ismail started withdrawing it,
07:41 I called him and asked him.
07:42 I asked him, "What are you doing?"
07:44 He said, "The cycle guys also got hit by it."
07:46 What is the rate of puncture?
07:47 Even in the cycle, if you go to the puncture shop,
07:50 when you go to blow air, they give 50 rupees.