RCCI fears rising inflation as 40% more taxes imposed in the Budget 2024-25

RCCI’s 16th APCPC on May 15


RAWALPINDI, JUL 3: There are serious concerns of the business community on the fiscal budget 2024-25.  The budget has put a multiple burden on the already existing taxpayers. The target of tax revenue has been set at 12,970 billion rupees, which is 40 percent more than the taxes imposed in the current year’s budget. In a joint statement, President Rawalpindi Chamber of Commerce and Industry (RCCI) Saqib Rafiq and group leader Sohail Altaf said that an important meeting on the post-budget situation will be held at the Rawalpindi Chamber of Commerce and Industry on Thursday. The meeting has been called to assess the budget impact and the agreed plan of action for the future will also be discussed. Business organizations, associations, people associated with the industry and representatives will also participate in the meeting, they added.

President Saqib Rafiq said that the increase in taxes will affect the business activities and the cost of doing business will increase manifold.

Group Leader and former President Sohail Altaf said that the consultation process was not followed in this budget with the business community.  He said that the salaried class is already worried about inflation. In the budget, the upper limit of income tax for the salaried class has been increased to 45%, which is too high. Similarly, by imposing supertax, it goes up to 55%. . Sales tax rate on food items has been increased to 18% which will further increase inflation, poultry feed and cattle feed has been taxed at 10%, construction sector which was already under pressure due to Section 7E in this budget. Taxes on the construction sector have been increased. This will halt the overall growth and economic activities in the country.