President Asif Ali Zardari approved on Saturday a change in the constitution of the 11th National Finance Commission (NFC) after Baluchistan reviewed his nomination, said a statement from the president’s secretariat.
The 11th NFC was established on August 22 to prepare a new prize for sharing federal divisible resources between the center and the provinces.
Chaired by the Minister of Finance, Muhammad Aurengzeb, the NFC includes four provincial finance ministers and four non -state members, one of each province.
However, its inaugural session was postponed at the request of the Government of Sindh “due to the imminent flood situation.”
According to the statement published today, the change became necessary after the “Baluchistan government reviewed its nomination, recommending Mahfooz Ali Khan as its non -official member in the 11th NFC.”
The statement added that the president has approved this nomination, replacing the previous approval.
The terms of reference established in clause 2 of article 160 require that the 11th NFC distribute between the Federation and the provinces, the net income of five main tax categories, as explained in clause 3 of article 160.
These include: income taxes (including corporation tax, but excluding paid salaries from the Federal Consolidated Fund); Taxes on the sale and purchase of imported goods, exported, produced, manufactured or consumed; Export duties on cotton and other tasks according to the president; special taxes; and any other tax specified by the President.
The notification for the 11A NFC also requires recommendations on subsidies in the help of the federal government to the provinces, and on the exercise of the powers of the moors by both levels of the government.
The new NFC has the task of considering sharing the expenses incurred or incurred by the Federation with respect to the issues that fall within the domain of the provinces; expenses in transnational issues; and the financial responsibility of national projects that will be shared both by the center and by the provinces.
Apparently, this indicates the intention of the center to boost provincial contributions towards natural calamities, horizontal health programs, main dams, roads and highways. The Federal Government has also advocated the end of the population based on the population, replacing them with the performance of the social sector, together with the activation of local governments.
The NFC will also determine the subsidies in the center from the center to the provinces, will establish powers and indebtedness conditions for both, and evaluate the necessary resources to meet the expenses of Azad Jammu and Cashmira, Gilgit-Baltistan and the newly fused districts of Khyber Pakhtunkhwa (Ersthile Fata).
