VAT-free traders

Wednesday, June 23, 2010

According to a news item, federal minister for states and frontier regions (SAFRON), Najmudin Khan says that VAT should not be imposed in the tribal areas, because "no such business activity is taking place in those areas". I would like to remind the minister that in these areas rampant smuggling of practically all goods is the norm, and if proof is needed, he only has to visit Karkhano Bazaar outside Peshawar where he will see hundreds of shops selling smuggled goods procured from tribal areas. The national exchequer can earn billions if VAT is recovered from the estimated twenty-thousand traders in Karkhano Bazaar alone.

Shakir Lakhani
Karachi
The News, June 23, 2010

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