LGFC cannot approve local taxes, fees: Hashim

Punjab Finance Minister Hashim Jawan Bakht has said that the Local Government Finance Commission (LGFC) can only fix upper and lower limits of local taxes, fee, rate etc and it was not the right forum to approve it.
He was chairing the 2nd meeting of the interim Provincial Finance Committee (PFC) to approve the release of funds as PFC share under Interim PFC Award, 2017, continuation of Interim Award 2017 till finalization of new PFC award under the PFC Act and consideration on the proposal of Local Government and Community Development Department to abolish fee for issuance of licenses for professions and vocations from July 1 2020.
Interim committee of the Provincial Finance Committee (PFC) on Friday selected 4 members of the Local Government Department through drawing lots in order to constitute the PFC Commission.
The meeting was attended by MPA Abdurehman Rana, Finance Secretary Abdullah Sumbal, Local Government Secretary Qazi Javed Ahmed, senior consultant Faisal Rasheed, FBR Member Rana Ahmed, and officials of the concerned departments.
The minister picked four lots which included metropolitan corporation Gujarwanawla, Thesil Council Sahiwal, Thesil Council Lalian, and Town Committee Dajal. Now four elected members, two each from opposition and treasury benches of the Punjab Assembly will be nominated by the government and opposition in order to complete the members of the PFC Award.
After nomination of the elected parliamentarians the PFC will be constituted. The PFC will be chaired by Punjab Finance Minister, along with co-chair of Minister for Local Government and Community Development. The other members would be Finance secretary, Local Government and Community Development Secretary, Planning and Development Department Secretary and four technical experts out of which one will be a woman.
Hashim Bakht deferring the proposal of abolishment of fee for issuance of licenses for professionals and vocations asked to check impact fee abolishment on ease of doing business. Further, he observed that it was the mandate of the PFC Commission not the interim commission which is made to grant approvals of required funds to run the affairs of the local governments in the province.
The Interim committee also approved the releases of funds to LGs under PFC Award, 2017 for 2019-20 to manage the affairs of the local government departments.