KARACHI: Chairman, Federal Board of Revenue (FBR), Mumtaz Haider Rizvi, has said that the disqualification of Prime Minister Yousuf Raza Gilani would have no impact on the validity of federal budget 2012-13.

Talking to newsmen before a post budget seminar organized jointly by Karachi Chamber of Commerce and Industry (KCCI) and Mass Human Resource Services on Wednesday evening, he said that the budget was approved by National assembly and hopefully the assembly would not be dissolved as a result of Supreme Court’s verdict.

He said that FBR was taking measures to streamline tax refund system so that the business community could get refunds online.

Rizvi expressed the hope that revenue collection target would be achieved before the end of the fiscal year, as currently revenue collection is going on satisfactorily.

To a question, he said that the budget fulfilled the expectations of masses. Taxes on food items were reduced to give relief to general public, he added. He expressed the hope that prices of goods would reduce in coming days. Enumerating some of the relief measures, he said that in the budget exemption limit of income tax was increased and government employees’ salary was hiked by 20 percent, besides reducing taxes.

He further said that efforts were being made to curb flying invoices and apprehend culprits making fake refund claims. Those who have valid refund claims will get refunds without any hurdle, he assured.

Later speaking at the seminar, he advised business community to take advantage of the amnesty scheme and deposit principle amount to get relief.

He expressed concerns that out of Rs 42 billion only 4 lacs tax has been collect in this head.

Regarding the SRO 191, he said that the SRO should be considered as buried.

He said that the question was asked everywhere as from where the additional tax would be collected to meet the revenue target of 2012-13. “The reply is very simple, we do not want to burden further those who are already paying taxes,” he added.

He said that the had detected 5.73 lacs people who were living luxurious life, had luxury cars and travel abroad frequently but pay no tax. Notices have been issued to these people and they have started responding positively, he informed.

Speaking on the occasion, Shabbar Zadi said that retail and wholesale sectors were not contribution in tax and suggested that there should be a mechanism so that these sectors should started contributing in national exchequer. Former President KCCI, Anjum Nisar, expressed concern over power shortage, prevailing law and order situation. He said investors are reluctant to invest in the country in the prevailing present circumstances.

CEO Tameer Bank, Nadeem Hussain, said that the general pubic had no excess to baking and finances.

CEO, SME Business Support Fund, Saqib Mohyuddin said 70 percent of the SMEs goes bankrupt in the first year of their operation. He said that Sate Bank of Pakistan should review SME policy and should give special tax incentives to this sector. Chairman, Sindh Board of Investment, Zubair Motiwala expressed doubts about achievement of revenue collection target in present grim economic situation.