Oh no, new taxes on property sector

The World Bank (WB) has recommended an increase in taxation of agriculture and property sectors in Pakistan.

Trying to urge Pakistan to increase its taxation efforts, the World Bank has urged the government to raise taxes on property and agriculture. The reports were published in a leading newspaper on October 4th.

The report ‘Pakistan Development Update: Restoring Fiscal Responsibility’ by the World Bank has been published.

It suggests reforms in the country on a wider scale, targeting the taxation on agriculture and property sectors. The reforms are aimed at increasing the tax collection department of the local government.

The agricultural reforms include adjustments to the existing 12 ½ acre taxation threshold. The change aims to add a larger portion of agricultural land into the taxation framework.

The criterion for implementation of the appropriate tax has been established. It is according to many factors such as size, location, and irrigation. These measures have the potential to generate revenue equal to one percent of the GDP.

This also serves to rectify the agricultural land used for non-agricultural purposes. This is to prevent exploitation.

The World Bank has recommended increasing the taxes according to the comparable economies around the world.

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