KABUL (SW): The Association of Industrialists has said they have been at odd with the Ministry of Finance for the past three years now over taxation matters.
Sakhi Ahmad Payman, President of this association told journalists in Kabul on Thursday that the MoF have made industrialists pay taxes many times higher than the past. He mentioned that the Wolesi Jirga Commission on Economic Affairs too has expressed annoyance towards the new tariff of taxes imposed on the industry.
Lamenting the policies of the MoF, President of the Association of Industrialists said they used to pay some 2 percent of their income in taxes but now they have been compelled to pay some 4 percent of the income. Payman stressed that since the industrialists also pay a number of other taxes, it was unfair to raise the income tax at a time when the country is going through tough economic times.
The MoF however, have long been defending the move to raise taxes, dubbing it vital to lead the country towards self-reliance. Ajmal Hameed, the MoF Spokesman said in this regard that the increase in taxes was in compliance with a new comprehensive strategy that bounds those with high income to pay more.
Meanwhile, the industrialists argue that lack of suitable environment was hampering economic growth, hence making it difficult for investors to pay higher taxes. According to estimates only around two thousand production units are up and running that employees a little over 0.5 million workers.
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