Thursday, 27 October 2011

FIN623 GDB#1 IDEA SOLUTION


A recent research report has revealed that only (2 percent) people pay tax in
Pakistan. Which measures should be taken by the legislative bodies and
CBR to improve the tax revenue of Pakistan?
Solution:
With the help of following measures Tax revenue can be increase:
Relief for the taxpayers by providing concessions and rationalizing the
excise tariffs, thereby creating a conducive and business-friendly
environment for the taxpayers.
Broadening of tax base by minimizing exemptions and bringing more
services in the excise regime.
Simplification of tax laws to make them easier for the taxpayers and
compatible with international best practices.
Removal of irritants and impediments in fiscal laws and procedures.
Reducing the cost of doing business by furthering the automation of
business processes and minimizing taxpayer interface.
 Improving tax compliance through better relationship between
taxpayers and tax officials as well as by introducing stronger penalties for

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