ISLAMABAD: Pakistan extended a tax amnesty scheme on Sunday till July 31, allowing people to declare their hidden domestic and offshore assets by paying a nominal 2 to 5 percent tax on them.
The scheme was originally launched by the previous government on April 10 and was scheduled to expire on June 30.
“The Federal Cabinet, on the recommendations of the Finance Minister, has approved an extension of the closing date of tax amnesty schemes for declaration of foreign assets and domestic income and assets till July 31, 2018,” Dr. Mohammed Iqbal, member (inland revenue-policy) of the Federal Board of Revenue (FBR), told Arab News.
A summary was approved on Saturday for promulgation of a presidential ordinance to amend the Foreign Assets (Declaration and Repatriation) Act 2018, and the Voluntary Declaration of Domestic Assets Act to extend the amnesty schemes for offshore and domestic assets.
President Mamnoon Hussain promulgated the ordinance to validate the one-month extension with immediate effect.
He said the extension was made on the request of trade bodies, professional associations and the public since “there has been an overwhelming demand and response which is on the rise.
“The extension was also needed to remove ambiguities through clarifications and explanations required to provide certainty to the general public and to ensure effective implementation of the schemes,” he said.
Iqbal said the scheme had also been extended for a month as those declaring foreign assets faced problems in the payment of tax on foreign assets and repatriation of liquid assets.
“It will help the government in bringing undocumented persons, assets and income into the documented sector,” he said. “Depending on the flows, the scheme has the potential to bring in macroeconomic and fiscal stability in the economy.”
Ex-premier Shahid Khaqan Abbasi claimed at the launch of the amnesty scheme in April that it would broaden the tax base from only 1.2 million individuals to 30 million.
The FBR expected to collect around RS120 billion ($32 billion) in tax contributions from those who have used the amnesty scheme. However, by late Saturday night, only RS75 billion could come in the FBR’s kitty.
Pakistanis were allowed to whiten their hidden local and foreign assets at nominal rates between 2 and 5 percent, depending on whether they are declaring domestic or foreign assets and repatriating these possessions to the country or not.
Economists welcome the extension in the amnesty scheme but also urge the authorities to formulate cogent policies to increase the tax net and catch tax evaders to strengthen the country’s economy.
Dr Ashfaque Hasan Khan, senior economist and ex-adviser to the Ministry of Finance, said the scheme had been successful only because the Supreme Court gave it the go-ahead after properly vetting and reviewing its contours.
“The Supreme Court’s approval helped improve confidence of businessmen and the general public in the amnesty scheme and hopefully the FBR will get sufficient revenue through it,” he told Arab News.
Khan said that if Pakistanis declared their foreign assets through the scheme in large numbers, it would also help improve the country's foreign exchange reserves. “For the first time, businessmen and trade bodies have been taking a lot of interest in the amnesty scheme and this shows its success,” he added.
The apex court had taken notice of the amnesty scheme after the then opposition parties had disapproved of it, but later, in June this year, the court approved it after getting it reviewed by economists and tax experts.
Dr. Athar Ahmed, senior economist, termed the tax amnesty scheme a “blessing in disguise” and said the government had no other option but to announce the amnesty to bring more people into the tax net.
“The authorities had to offer incentives to tax evaders because there was no mechanism in place to hold them accountable for their undeclared local and foreign assets,” he told Arab News.
He urged the government to sign agreements with international bodies and other countries to track down undeclared assets of Pakistanis. “Parliament should enact laws to help relevant authorities locate undeclared local and foreign assets of Pakistanis to strengthen the economy,” he suggested.
Pakistan extends tax amnesty scheme for another 30 days
Pakistan extends tax amnesty scheme for another 30 days
- Country expects the plan to broaden the tax base from current 1.2 million individuals to 30 million
- The government extended the scheme on Sunday till July 31, allowing people to declare their hidden domestic and offshore assets by paying a nominal tax on them
US troops need to stay in Syria to counter the Daesh group, Austin says
- According to estimates, there are as many as 8,000-10,000 Daesh fighters in the camps
- The continued presence of US troops was put into question after a lightning insurgency ousted Assad on Dec. 8, ending his family’s decadeslong rule
RAMSTEIN AIR BASE, Germany: The US needs to keep troops deployed in Syria to prevent the Daesh group (also known as ISIS) from reconstituting as a major threat following the ouster of Bashar Assad’s government, Defense Secretary Lloyd Austin told The Associated Press.
American forces are still needed there, particularly to ensure the security of detention camps holding tens of thousands of former Daesh fighters and family members, Austin said Wednesday in one of his final interviews before he leaves office.
According to estimates, there are as many as 8,000-10,000 Daesh fighters in the camps, and at least 2,000 of them are considered to be very dangerous.
If Syria is left unprotected, “I think IS fighters would enter back into the mainstream,” Austin said at Ramstein Air Base in Germany, where he traveled to discuss military aid for Ukraine with about 50 partner nations. He was using another acronym for the Daesh group.
“I think that we still have some work to do in terms of keeping a foot on the throat of Daesh,” he said.
President-elect Donald Trump tried to withdraw all forces from Syria in 2018 during his first term, which prompted the resignation of former Defense Secretary Jim Mattis. As the Hayat Tahrir Al-Sham group, or HTS, advanced against Assad last month, Trump posted on social media that the US military needed to stay out of the conflict.
The US has about 2,000 troops in Syria to counter Daesh, up significantly from the 900 forces that officials said for years was the total number there. They were sent in 2015 after the militant group had conquered a large swath of Syria.
The continued presence of US troops was put into question after a lightning insurgency ousted Assad on Dec. 8, ending his family’s decadeslong rule.
US forces have worked with the Kurdish-led Syrian Democratic Forces on operations against Daesh, providing cover for the group that Turkiye considers an affiliate of the Kurdistan Workers’ Party, or PKK, which it identifies as a terror organization.
The Syrian transitional government is still taking shape, and uncertainty remains on what that will mean going forward.
The SDF “have been good partners. At some point, the SDF may very well be absorbed into the Syrian military and then Syria would own all the (Daesh detention) camps and hopefully keep control of them,” Austin said. “But for now I think we have to protect our interests there.”
Russian strike kills 13 in Ukrainian city of Zaporizhzhia
- The blast left bodies strewn across a road alongside injured residents
- Public transport was also damaged in the strike
ZAPORIZHZHIA, Ukraine: A Russian guided bomb attack on Wednesday killed at least 13 people and injured 63 in Ukraine’s southeastern city of Zaporizhzhia, authorities said.
The blast left bodies strewn across a road alongside injured residents. Public transport was also damaged in the strike.
Prosecutors in the region said 63 people had been injured. Rescue work had been completed at the site of the attack.
High-rise apartment blocks were damaged along with an industrial facility and other infrastructure, Ukraine’s prosecutor general office said on Telegram. The debris hit a tram and a bus with passengers inside, it added.
As emergency workers tried to resuscitate a man, raging flames, smoke and burnt cars could be seen in the background.
Russian troops had used two guided bombs to hit a residential area, the regional governor Ivan Fedorov told reporters.
At least four of the injured were rushed to hospital in serious condition, Fedorov said, adding that Thursday would be an official day of mourning.
“There is nothing more cruel than launching aerial bombs on a city, knowing that ordinary civilians will suffer,” President Volodymyr Zelensky said on X, urging Ukraine’s Western allies to step up pressure on Russia.
Regional authorities reported further explosions after the first strike hit.
Fedorov said Russian troops shelled the town of Stepnohirsk, south of Zaporizhzhia, killing two people. Two residents were pulled alive from underneath rubble.
Russia regularly carries out air strikes on the Zaporizhzhia region, which its forces partially occupy, and its capital. Moscow claims to have annexed the Ukrainian region along with four others including Crimea.
Public broadcaster Suspilne also reported two people killed and 10 injured in attacks on several centers in the southern region of Kherson, also partially occupied by Russian forces.
US to announce new weapons package for Ukraine as defense leaders prepare to meet in Germany
- The group’s future is unclear with President-elect Donald Trump set to take office on Jan. 20
- Advisers to Trump have floated proposals to end the Ukraine war that would cede large parts of the country to Russia for the foreseeable future
WASHINGTON: The US is expected to announce $500 million in military aid for Ukraine on Thursday at a final gathering of President Joe Biden’s weapons pledging conferences, meetings Kyiv says have been critical to its defense against Russia.
The Ukraine Defense Contact Group (UDCG), comprised of about 50 allies who usually meet every few months at Ramstein Air Base in Germany, was started in 2022 by US Defense Secretary Lloyd Austin to speed and synchronize the delivery of arms to Kyiv.
The group’s future is unclear with President-elect Donald Trump set to take office on Jan. 20. Advisers to Trump have floated proposals to end the Ukraine war that would cede large parts of the country to Russia for the foreseeable future.
Washington has committed more than $63.5 billion in security assistance to Ukraine since Russia’s invasion and the additional $500 million could be announced later on Wednesday, a US official said, speaking on the condition of anonymity.
On Thursday, the defense leaders will meet at Ramstein Air Base for the 25th UDCG meeting.
“We’re not sunsetting the group. The next administration is completely welcome and encouraged ... to take the mantle of this 50 country strong group and continue to drive and lead through it,” said a senior US defense official, speaking on the condition of anonymity.
“It will endure in some capacity, in some form going forward, I believe, regardless of exactly how the next team does or doesn’t pursue it,” the official said.
Trump will have a few billion dollars in appropriated money that he could use for Ukraine’s military needs once he takes office.
The official added that the Thursday meeting would look to endorse roadmaps for Ukraine’s military needs and objectives through 2027.
More than 12,300 civilians have been killed in the Ukraine war since Russia invaded nearly three years ago, the United Nations said, noting a spike in casualties due to the use of drones, long-range missiles and glide bombs.
Ukraine said on Tuesday its forces were “commencing new offensive actions” in Russia’s western Kursk region.
Ukraine first seized part of the Kursk region in a surprise incursion last August, and it has held territory there for five months despite losing some ground.
The apparent escalation in the fighting in the Kursk region comes at a critical time for Ukraine, whose outnumbered and outgunned troops are struggling to repel Russian advances in the east.
Gunfire heard near presidency in Chad capital
- A security source said armed men had attacked the interior of the presidential compound
N’DJAMENA: Sustained gunfire was heard Wednesday evening near the presidency in Chad’s capital N’Djamena, AFP reporters said.
A security source said armed men had attacked the interior of the presidential compound but authorities made no immediate comment.
All roads leading to the presidency have been blocked and tanks could be seen on the streets of the capital, according to an AFP reporter on the scene.
The gunfire erupted less than two weeks after the landlocked country in Africa’s northern half held a contested general election.
The government hailed it as a key step toward ending military rule, but it was marked by low turnout and opposition allegations of fraud.
The election had taken place against a backdrop of recurring attacks by the jihadist group Boko Haram in the Lake Chad region, the ending of a military accord with former colonial master France, and accusations that Chad was interfering in the conflict ravaging neighboring Sudan.
Several hours earlier on Tuesday, China’s foreign minister Wang Li met with President Mahamat Idriss Deby Itno and other senior officials.
The former French colony hosted France’s last military bases in the region known as the Sahel, but at the end of November it ended the defense and security agreements with Paris.
Around a thousand French military personnel were stationed there, and are in the process of being withdrawn.
France is now reconfiguring its military presence in Africa after being driven out of three Sahelian countries governed by juntas hostile to Paris — Mali, Burkina Faso and Niger.
Senegal and the Ivory Coast have also asked France to leave military bases on their territory.
Baby born on migrant vessel in Atlantic: Spanish rescuers
- “Christmas ended in the Canaries with the rescue of a baby born while crossing the sea,” the coast guard said
- A record 46,843 undocumented migrants reached the Canary Islands in 2024
MADRID: Spanish coast guards rescued a baby that was born on an inflatable vessel carrying migrants to the Canary Islands, authorities said on Wednesday.
The newborn was recovered safely along with their mother on Monday, the coast guard service said in a message on X.
They were the latest to make the crossing that has seen thousands drown as migrants try to reach the Atlantic archipelago from Africa.
“Christmas ended in the Canaries with the rescue of a baby born while crossing the sea,” the coast guard said.
A coast guard boat “rescued a mother who had given birth aboard the inflatable craft in which she was traveling with a large group of people.”
The two were taken by helicopter to Arrecife on the island of Lanzarote, it added.
A record 46,843 undocumented migrants reached the Canary Islands in 2024 via the Atlantic route, official data showed this month.
