ISLAMABAD – The Pakistan Economy Watch (PEW) on Sunday termed budget proposals by different business chambers, and associations a futile ritual with no positive impact.

Budget proposals have never been accepted for the welfare of masses or the business community which is making country a bad place to live and a risky destination for investors, it said.

Enhancing tax revenues and protecting evaders seems to be the major concerns of the collectors despite knowing its disastrous impact on the society and country, said Dr. Murtaza Mughal, President PEW.

Taxation helps growth in developed nations while it has been chocking development in Pakistan since decades, he said. He said that the trend of oppressive policies continues in absence of any sincere effort or serious study on its impact, he said.

Challenging targets are fixed every year without measures to boost collections which lead to complaints by tax payers, delayed refunds, non-payments, defaults, corruption and frequent revision of the targets, he added.

He said that frequent deception by the tax authorities including fudging the figures is taken normally by those who matters, which scares investors and donors alike.

Stressing a shift in the economic priorities, he said that methods employed by the authorities are promoting poverty and instability in Pakistan.

He said that inequitable tax burden has not only created a shortage of cash for the productive sectors but it has diverted resources to sectors that matter least in the economy.

Banks also feel comfortable to invest in government securities while ignoring trade, commerce and industry, he said.

Trade and professional bodies can consider stopping forwarding budget proposals as they always fall on deaf years.

Dr. Murtaza Mughal said that government should make an acceptable taxation system and impose it after taking all stakeholders on board otherwise country will remain dependent of foreign loans.