The Senate Standing Committee on Finance and Revenue on Wednesday urged the Federal Board of Revenue (FBR) to allow recovery of Super Tax over two to three years instead of demanding immediate payment, warning that lump-sum collections could put excessive pressure on businesses.
During the meeting at Parliament House, chaired by Senator Saleem Mandviwalla, FBR Chairman Rashid Mahmood Langrial told the committee that total Super Tax collections are expected to be around Rs217 billion, rejecting media reports that had placed the figure at Rs300 billion. “Total Super Tax collection stands at Rs217 billion. Reports suggesting collections of Rs300 billion are incorrect,” he said.
The meeting was attended by Finance Minister Muhammad Aurangzeb, State Bank Governor Jameel Ahmad and senior FBR officials. Responding to concerns over tax-related text messages, Langrial explained that the FBR only sends congratulatory messages to property buyers, reminding them to declare assets in their tax returns. He said this initiative had helped bring nearly one million new taxpayers into the system. The finance minister backed this explanation, saying he had also received such a message and saw no issue with the practice.
Committee members, however, highlighted the financial strain on businesses. Senator Abdul Qadir questioned how taxpayers could be expected to pay liabilities covering the past three to four years in one go, cautioning that such pressure could force businesses to shut down or relocate. He proposed spreading Super Tax payments over two to three years.
Finance Minister Aurangzeb said the committee’s recommendations would be considered and lawmakers consulted during preparations for the next federal budget. Langrial assured members that businesses would not be shut down and said instalment plans could be offered in specific cases if required.
Separately, Senator Sherry Rehman raised concerns over the closure of state-owned enterprises amid limited job opportunities. In response, the finance minister said macroeconomic stability had been achieved and that privatisation would stimulate business activity and employment, adding that affected workers would be given attractive compensation packages.
