LAHORE - The business community Friday sought help of Prime Minister Nawaz Sharif for early resolution of issue of withholding tax on banking transactions.
LCCI President Sheikh Muhammad Arshad said that issue of withholding tax on banking transactions is causing trust deficit between the government and the business community.
Sheikh Muhammad Arshad said that the government would have to find out an amicable solution to the WHT issue to ensure a business friendly atmosphere in the country.
He said that though expansion of tax net is need of the hour but government would have to find out new ways to bring the untaxed sectors into the tax net.
PIAF chairman Irfan Iqbal Sheikh said that measures like imposition of withholding tax on bank transactions would not be doing any service to the economy as it has been observed that tax collection machinery has no authentic data to specify difference between filers and non-filers.
He said that though formation of a committee and cut in withholding tax is a step in right direction but business community is yet not satisfied and want complete withdrawal of withholding tax.
He said that PIAF is with all the trade and industry associations against this imposition of tax on bank transactions.
FPCCI President Mian Adrees said that forceful imposition of withholding tax on banking transactions will not only hamper the trade and economic activities but will also tarnish the image of the government.
He said that a number of trade & industrial associations have approached the FPCCI and informed that imposition of tax on all banking transactions has caused unrest and put the interests of business community on stake.