Finmin to discuss extension of Fata tax exemptions with IMF, says Sanaullah after PTI-govt meeting

ISLAMABAD: The government on Friday assured the PTI that it would discuss with the International Monetary Fund (IMF) the extension of tax exemptions for the merged districts of the erstwhile Fata and Pata regions, according to federal minister Rana Sanaullah. Sanaullah, who also serves as the prime minister’s adviser on political affairs, made the remarks after key leaders from the government and the PTI met at Parliament House. “The finance minister has promised [the opposition] that he will seek to extend these exemptions after speaking with the IMF, and God-willing, will make efforts for it,” Sanaullah told reporters after the meeting. The meeting was held in the chamber of Finance Minister Muhammad Aurangzeb. Minister for Kashmir Affairs and Gilgit-Baltistan Amir Muqam also attended from the government side, while Asad Qaiser, Junaid Akbar and PTI MNAs from the erstwhile Fata represented the opposition. Sanaullah said the opposition had raised concerns with Prime Minister Shehbaz Sharif in the National Assembly earlier in the day over the expiry of tax exemptions for the erstwhile Fata and Pata regions on June 30. He said that the prime minister subsequently directed him, Aurangzeb and Amir Muqam to meet the opposition. The PML-N leader noted that Muqam had already been making efforts on the matter. He expressed the hope that the tax waivers would be extended after taking the IMF into confidence. The erstwhile Fata and Pata, which were merged with Khyber Pakhtunkhwa in 2018, are exempt from income tax on profits and gains from existing businesses operated by individuals. There are also other tax exemptions, such as sales tax exemptions for retailers. Speaking during the budget debate in the NA on Tuesday, Muqam had called for the continuation of tax exemptions in former Fata and Pata, emphasising that the regions continue to face economic challenges due to years of conflict and displacement. Earlier this month, the Fata Loya Jirga (FLJ) opposed the imposition of