Senate body supports impositions of sales tax on charitable hospitals

ISLAMABAD: The Standing Committee on Finance has supported the imposition of sales tax on charitable and welfare health facilities.

The meeting of the Senate Standing Committee on Finance was chaired by Senator Saleem Mandviwala in which the committee supported the abolition of sales tax exemption on charitable and welfare hospitals.

On this occasion, Senator Saleem Mandviwala said that a trustee hospital did not pay the bill of two millions to the deceased, if the government is giving tax exemptions, it should also audit these hospitals.

Senator Farooq H. Naek said that the trust hospitals have also appointed doctors who charge huge fees and their laboratories charge expensive fees in the name of the trust.

During the meeting of the Senate Standing Committee, the Federal Board of Revenue (FBR)  officials said that government hospitals are paying sales tax but big private hospitals are not paying sales tax.

FBR officials told the committee members that the country’s big and expensive hospitals are run by trusts for which tax exemptions are now being removed.

On the other hand, the Standing Committee summoned the Finance Minister Muhammad Aurangzeb, on which the Chairman of the Standing Committee said that the Federal Finance Minister had given the time between 5 o’clock.

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On this occasion, Senator Farooq H. Naek said that the committee is going to complete its recommendations and the finance minister should be here. He said we will call the meeting of the committee again for the finance minister.