Finance Minister Senator Muhammad Aurangzeb on Friday said a fully digitalised taxation system is imperative to eliminate leakage and enhance collection without hassle for taxpayers.

Addressing the business community at Faisalabad Chamber of Commerce and Industry (FCCI), he said the finance division is responsible for budget preparation while the Federal Board of Revenue (FBR) would handle tax administration. He underlined the importance of the private sector in leading the economy.

On financing, he said the interest rate has been trimmed from 22% to 11.5%. “It could be further brought down if the Iran conflict is resolved immediately,” he said. More concessions would be given to exporters in the next budget.

Quoting electricity tariff, he said all cross subsidies have been eliminated, which would further bring down rates. Advance and super taxes have also been eliminated.

He appreciated the IT sector’s performance, noting exports have reached $4.5 billion. The government is encouraging the construction sector but will not allow sale and purchase of files.

The minister said records of every individual are available with NADRA and FBR, which will be integrated to eliminate tax leakage.