Govt to stay even if RGST rejected: Kaira

LAHORE As the opposition parties are determined to block the Reformed General Sales Tax (RGST) in both Houses of the Parliament, Federal Information Minister Qamar Zaman Kaira said the government will not insist on enforcing the RGST in case the elected representatives do not support the move. The minister insisted that failure to enforce the RGST will have no impact on the fate of the government. However, there are differences between the opposition parties on the subject. PML-Ns Senator Pervaiz Rashid says his party will oppose the RGST, but does not see any change on the political scene even if the government fails to have the new bill approved from the bicameral legislature. The government will continue to work as usual. We dont think our governments are sensitive enough to take a bold decision and resign in such situations. So, no change is in the offing, he said while talking to TheNation on Sunday. However, former federal ministers Dr Sher Afgan Niazi, a leader of the All Pakistan Muslim League (APML) and Dr Khalid Ranjha of PML-Q, both known for their constitutionalism, are of the view that the failure of the government to have the RGST passed from Parliament will mean that the government does not enjoy the majority support which it must have all the time to stay in power. Morally, they said, the government would be left with no justification to continue to stay in power and the prime minister should step down in such an eventuality. Niazi said the immediate impact of the rejection of the taxation bill would mean that the government would not be able to impose the tax, to which is linked an IMF aid of $1.07 billion. He recalled that the Parliament had rejected the entire budget of the government of the late Muhammad Khan Junejo. However, Junejo did not resign. He simply withdrew the budget and presented another, which was passed by the Parliament. Kaira, while talking to TheNation, said the PPP government was working on an economic agenda aimed at bringing economic stability to the country. He said the RGST had been approved by the Council of Common Interests, where all provinces were represented, and the federal cabinet. Now, he said, the matter would be brought to the National Assembly and the Senate. In case the elected representatives accorded approval, the RGST would be enforced. Otherwise, it would be withdrawn. Kaira said the government would try to convince the allies about the need for the RGST. We hope that they will support our point of view. The minister said if the legislators thought that the country was in a position to face the challenges without passing the RGST, the government would respect their opinion. There are reports that the coalition partners of the PPP are opposed to the RGST as they think it will add to the miseries of the people. However, nobody is in a position to say with a degree of certainty whether they will really oppose the tax in Parliament or change their stand after extracting some political price. The governments allies Muttahida Qaumi Movement, Awami National Party and Jamiat Ulema-i-Islam-F have publicly opposed the governments plan to impose the RGST. The PML-Q and the PML-N are also opposed to the move. In case these parties join hands in parliament, the government will not be able to have the tax approved.

ePaper - Nawaiwaqt