Circular debt of Rs 503 billion ruined till July 31: Ishaq Dar

ISLAMABAD, Jun 17 (APP): Finance Minister Senator Ishaq Dar on Monday
said that circular debt of Rs 503 billion would be ruined till July 31 to overcome the energy crisis and bring the country to prosperity and development.

Talking to a private news channel, he said that outstanding payment of
private companies would be paid at the end of this month while state institutions would be cleared till July 31.

He said that a committee was constituted to know about the facts
regarding increase in salaries of federal government employees who recommended 7.5 Per cent increase in salaries but government increased 10 per cent without any pressure for new fiscal year.

Replying to a question he said that government has increased tax on
Hajj tour operators’ income from 2000 to 3500 per pilgrim which has not charged from pilgrims.

Finance minister ensured that government never bring mini budget in
National Assembly, adding that 45 per cent cut from Prime Minister’s house
expenses and 30 per cent of all ministries is mandatory.

Replying to another question regarding implementation of sales tax
before passing the budget from National Assembly he said that according to provisional tax collection act 1931 government could do so provisionally.

He said that all political parties should create national consensus on
all political and non political issues and signed an agreement like Charted of Democracy (CoD).

35 per cent tax imposed on those who have more than income of six
million while 0.5 million new tax payers would bring in tax net this year, he added.

Ishaq Dar said that government has increased the amount of income
support program from Rs 40 billion to 75 billion and 50 per cent quota would be given to women.

Replying to a question finance minister said after 18th Constitutional
Amendment agricultural department has been given to the provinces and the land lords who showed their agriculture income of more than Rs 7 million in tax returns would prove that they have to pay agricultural tax to their respective provincial government otherwise they are not exempted from income tax.

Prime Minister of Pakistan Mian Muhammad Nawaz Sharif would announced
many packages in his first speech to the nation soon, he said.