Implementation of the new Fiscal Responsibility and Debt Limitation Act (FDRLA) at the federal and provincial levels, with emphasis on the implementation of the National Medium-Term Fiscal Framework.
Dr. Akhtar Gulfam
New York: The World Bank has made yet another demand for Pakistan to adopt a national fiscal policy by harmonizing federal and provincial spending with constitutional mandates, by providing a single general sales tax (GST) to various federal and provincial revenue agencies. (ST) should be integrated into the collection agency and effectively levy taxes on agriculture, capital gains, and real estate in the next fiscal year’s budget. Enact the new Fiscal Responsibility and Debt Limitation Act (FDRLA), including implementing a national medium-term fiscal framework through the fiscal year 2025 budget process. To reduce administrative complexity, the World Bank also suggested consolidating all GST collection responsibilities with a single agency, which could then distribute the revenue as per constitutional provisions. The World Bank has called for concrete progress on GST harmonization across the federation and federating units through the move towards rate harmonization for tax compliance and provision of input tax credits and roll out of the GST portal.
