Islamabad: Dr Hafeez Shaikh, the prime minister’s adviser on finance, rejected the tax amnesty scheme design proposed by Asad Umar.
Tax amnesty scheme model is now rejected by Dr Hafeez Shaikh. However, the model was proposed by the former finance minister Asad Umar. In his first meeting with FBR or Federal Board of Revenue, Hafeez Shaikh directed tax officials to come up with a more simplified version of the tax amnesty scheme.
On the other side, Hafeez Shaikh turned down the proposal to introduce six types of tax rates for various categories of assets, a finance ministry official told.
Hafeez Shaikh directed FBR officials to reduce the tax classifications to only two which means that the Benami assets that would have attracted the highest rates under Asad Umar’s model may now be cleared at the same rate set for other domestic assets.
Unlike Asad Umar, Hafeez Shaikh also did not rule out the possibility of more tax amnesty schemes in the future, the official said. He acknowledged the need for offering a tax amnesty scheme because of the problems arising out of the enactment of the Benami Assets Prohibition Act.