OICCI issues tax proposals for budget.

KARACHI -- The Overseas Investors Chamber of Commerce and Industry (OICCI) on Thursday proposed to harmonise tax collection and improve documentation as part of its recommendations for FY21 budget to promote ease of doing business, increase investment and broaden the tax base.

'The existing tax legislation, and more so its enforcement, based on years of experience, is very cumbersome and a serious deterrent in boosting the tax to GDP ratio to a reasonable level,' said the OICCI in its 68-page Taxation Proposals for 2020-21 Fiscal Budget document.

In order to promote ease of doing business, the chamber recommended the government to consolidate federal taxes including income tax, Workers Welfare Fund and Workers Profit ParticiApation Fund in one to make the system more efficient.

Moreover, it suggested the government to revamp the withholding tax regime by reducing it to a maximum of five rates while differentiating on the basis of active and...