ISLAMABAD:The Pakistan Peoples Party has refused to vote in favour of new “draconian” powers for taxman to arrest people in tax fraud cases, resulting in a new round of negotiations between the two key partners of the alliance just hours before the approval of the budget from the National Assembly.
On behalf of the government, Deputy Prime Minister Ishaq Dar has reached out to the top PPP leadership who was hopeful to resolve the issue before the approval of the budget.The government was hopeful that after adding some more safeguards, the PPP may vote for the arrest powers amendment in the Finance Bill.
The sources told The Express Tribune that the top leadership of the PPP conveyed to the government on Wednesday it would not vote to give arrest powers to the Federal Board of Revenue in spite of inclusion of new safeguards to have a check on these powers.
The government cannot get the budget passed from the National Assembly without the support of the PPP.
On June 12, the government proposed in the budget that the FBR can arrest people in tax fraud cases. During discussions on the budget in the National as well as Senate standing committees on finance the additional safeguards were introduced to stop the misuse of these powers. These safeguards had been proposed by the PPP.
Despite the additional safeguards, the FBR cannot be trusted; a senior PPP negotiator told The Express Tribune on condition of anonymity. The real issue was the trust on the FBR, he added.The development surfaced a day before the approval of the budget by the National Assembly, which is scheduled to approve it.
The sources said that on behalf of the government Deputy Prime Minister Ishaq Dar contacted top PPP leadership. “I am back in Islamabad and we will resolve it soon Insha’Allah,” said Ishaq Dar while talking to The Express Tribune. Dar was in the United Arab Emirates where he reached an understanding with the UAE rulers to address the serious issue of denying visas to Pakistani government officials.
Dar said that he was in contact with the President Asif Ali Zardari and the other PPP leadership. The matter regarding the arrest powers will be addressed before the approval of the budget, said the Deputy Prime Minister.