The Federal Board of Revenue (FBR) intends to purchase 155 luxury vehicles at a cost of more than Rs 1.6 billion. In order to facilitate taxpayers’ access to a foreign loan intended to update its outdated information technology system.
The Economy of Pakistan tweet on Luxury Vehicles
According to Economy of Pakistan tweeted that FBR aims to buy 155 luxury vehicles from World Bank’s $400m revenue raising project.
FBR aims to buy 155 luxury vehicles from World Bank’s $400m revenue raising project.
— Economy of Pakistan (@Pakistanomy) February 16, 2023
In this tweet KP finance minister Taimur Khan Jhagra asked that is this part of the IMF conditions.
Is this part of the IMF conditions? https://t.co/2AGjyj17py
— Taimur Saleem Khan Jhagra (@Jhagra) February 16, 2023
The revenue board has submitted papers worth Rs. 19.6 billion to the Ministry of Planning for the Investment Project Financing component of the World Bank’s $400 million Pakistan Raises Revenue project.
FBR Declared Purchasing For Luxury Vehicles
A deeper dive into these documents revealed that FBR will buy 155 vehicles ranging from 1,500 cc to 3,000 cc – an engine capacity that FBR itself has termed as a luxury and taxed heavily. The FBR did not reveal the maker of the vehicles in the documents.
In light of the country’s precarious economic circumstances, Prime Minister Shahbaz Sharif has declared plans to impose an economic strategy. While Finance Minister Ishaq Dar has already issued a Rs 170 billion mini-budget, his revenue arm is planning to buy Luxury vehicles and use taxpayers’ money for personal advantage.
The FBR has demanded Rs. 19.6 billion, of which Rs. 1.63 billion, or 8.6%, would be used to purchase these cars. However, in a recent meeting, the planning ministry voiced its opposition to the purchasing.
Another meeting will be place today to get ministry permission ahead of the meeting of the Central Development Working Party (CDWP).
