PESHAWAR: The Khyber Pakhtunkhwa (KP) government, State Bank of Pakistan (SBP) and 1-Link have signed a tripartite agreement for the collection of government taxes through Alternative Delivery Channels (ADCs) in a bid to facilitate taxpayers and simplify the tax payment procedure.
The ADCs will enable taxpayers in the province to submit their taxes, particularly sales tax on services, directly from their cell phones, computers and ATMs; thus, relieving them from personally visiting designated banks.
The agreement was signed at the KP Finance Department on Tuesday at the Civil Secretariat, Peshawar. KP Finance Minister Taimur Khan Jhagra, KP Spokesperson Kamran Khan Bangash, KP Chief Secretary Dr Kazim Niaz, KP Secretary Finance Atif Rehman and KPRA Director General Fayyaz Ali Shah and senior officials of the provincial government attended the ceremony.
Speaking at the occasion the finance minister said that the provincial government has been doing its best to facilitate the taxpayers and simplify the system through digitisation. “Citizens do not have to go to any office or bank for making payments to the government. It will save time and curb the practice of bribery,” he added.
Appreciating the Khyber Pakhtunkhwa Revenue Authority (KPRA) for being the first government entity in the province which has subscribed to the system, Jhagra said that revenue generation from Sales Tax on Services was stagnant at Rs10 billion just two years ago; however, it will touch Rs21 billion this year.
“Although our target for this year is Rs20 billion which is double the previous figure, we are striving for more than the target,” he added.
“The KPRA increased its collections despite Covid-19. If we achieve Rs22 billion in collections this year, then it will be a 120 per cent growth in the two years which may be unprecedented in the history of Pakistan,” Jhagra said.
Speaking about the importance of revenue growth for the public, the minister said that growth in revenue collection will enable the provincial government to continue public uplift projects like the Sehat Insaf Card and start more such projects for the wellbeing of citizens.
“Governments operate on money. We will be able to take big decisions for the uplift of our public like developed countries if our revenue generation is robust,” he said.