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Tax has been levied only on affluent segment:mujtab shuja

Lahore:Punjab Finance Minister Mujtaba Shuja ur Rehman has said that in the budget 2013-14 and tax has been levied only on affluent segments while there is also a proposal to impose tax on agriculture sector. He said that agriculture tax will be implemented in phases and provincial income will be increased due to reforms to be introduced in tax collection system. He said that property tax, motor vehicle tax and tax on services are the major sources of provincial income. He said that district governments will be given 239 billion rupees while solar energy operated tubewells will be given to the cultivators at a sum of 7.5 billion rupees will be spent for this purpose. He said that provincial government is also paying special attention to energy sector and a sum of more than 20 billion rupees will be utilized on development projects in this sector.  He said that education, health, energy and economic development are priorities of the provincial government and asked the international monetary institutions and donor agencies to extend cooperation in this regard.  He said that government is determined to steer the country out of energy crisis and a comprehensive strategy is being evolved for this purpose.

He expressed these views while talking to a delegation of International Monetary Fund (IMF) headed by Senior Representative of IMF Mansoor Dailami included Jeffrey Franks, Ferhan Salman, Asghar Shahmoradi, Ms. Sonali Das, Enrique Flores, Abdullah Al-Hassan, Ms. Daniela Gressani, Secretary Finance Tariq Bajwa, Joint Secretary Finance Division Naveed Alauddin and high ranking officers were also present.

                   Mian Mujtaba Shuja ur Rehman told the delegation that in order to curtail expenditures, simplicity and austerity campaign will be continued and the expenditure of Chief Minister Office has been curtailed by 30% while that of provincial departments by 15%. He said that good governance and elimination of corruption would be ensured at all cost.He further said that the development of education is the top priority of the provincial government and a sum of Rs.244 billion has been allocated in the new budget for this sector which is 26 percent of the total budget. Similarly, he said that an amount of Rs.102 billion will be utilized on the provision of health facilities which is 10.9 percent of the total budget.
                   The Provincial Minister further said that a ban has been imposed on the purchase of new government vehicles while furniture grant for the residences of provincial ministers and their discretionary grants have also been abolished.  He said that besides hydle and thermal, utilization of alternative sources including coal, windmill and biagass is also being considered for power generation. He said that resolution of energy crisis is need of the hour for rapid development of economy and vowed that all out steps would be taken for this purpose. He said that there is a scope of further expanding cooperation in health and education sectors in Punjab by international monetary institutions.
                   The IMF delegation ensured the Provincial Minister that cooperation in health, education and energy sectors would be considered, the international monetary institutions are interested in extending cooperation in education, health and energy sectors and cooperation and investment in these sectors is being considered. The delegation apprised the efforts of Punjab government regarding reforms in tax collectio

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