Karachi—Karachi Stock Exchange (KSE) has proposed that tax on listed companies should be reduced from 35 percent to 30 percent and that of MTS should be treated as full and final.

In its proposals for federal budget 2012-13, KSE also proposed minimum 40 percent of profit as dividend and tax exemption on dividend.

In order to channel the savings of Non-Resident Pakistanis (NRPs) into productive investment inside Pakistan, the KSE recommended that the government make suitable adjustments in SCRA account opening and operation for NRPs who wish to invest in stock market, so that the process is easy and transparent without needless bureaucratic hurdles. KSE believes that additional 5 percent to 10 percent of the total remittances of over $10 billion can be attracted by doing this over time.

“We highly appreciate the proposals from the SECP regarding chargeability of capital gains on sale of securities duly agreed by the honorable Finance Minister during the visit to KSE.