Promulgation of VAT Act, 2010 in haste may prove counter productive?
Pakistan has more than 20 years’ experience of sales tax of VAT like taxation. VAT will replace sales tax with broad tax base. Thus, Pakistan already has an established infrastructure and good tax management system, which is being further improved for the purpose of VAT. The tax reforms started several years back have brought large scale improvements and refinements in Pakistan’s tax machinery. VAT will improve consumption tax system in the country more progressively and futuristically.
