- Economists believe the recent VAT hike reflects the government’s failure to negotiate effectively with the IMF.
- They claim the government raised VAT to meet IMF conditions and generate additional revenue.
- However, they argue that this target is unlikely to be met, burdening businesses and consumers.
- Experts criticize the government’s failure to negotiate properly and conduct impact assessments before implementing tax policies.
- They believe the VAT hike was not a deliberate move but a result of the government being left with no alternative.
- They predict that the decision will not achieve its intended goal and will lead to further economic difficulties.
- Businesses also oppose the VAT hike, warning that it could have negative consequences for compliant businesses, employment, and the economy.
- They urge the NBR to engage with business leaders and policy thinkers.
Source: thedailystar.net
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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