By M Qadeer
LAHORE: Multiple taxes, complicated compliance requirements and increasing administrative procedures are creating additional pressure on Lahore’s traders and industrialists, making it difficult for businesses to expand and compete, Lahore Chamber of Commerce and Industry (LCCI) presidential candidate Ali Hussam Asghar has said.
Asghar, chairman of the Pioneer Businessman Group and a presidential candidate of the Vision Alliance, said the business community understands its responsibility towards the country’s economy and remains committed to playing its role through investment, employment generation and tax contribution.
However, he stressed that a sustainable economic environment requires a taxation and regulatory system that is simple, predictable and supportive of business growth.
He said the purpose of economic policies should not only be revenue generation but also encouraging entrepreneurship, industrial expansion, exports and investment.
According to Asghar, businesses operating in Lahore are facing challenges due to overlapping taxes, multiple compliance obligations and procedures that require significant time and resources. Instead of focusing entirely on improving productivity and expanding operations, many entrepreneurs have to dedicate considerable effort towards fulfilling administrative requirements.
He said reducing unnecessary complexity in the business environment was essential for improving ease of doing business.
Businesses need simplicity and predictability
Asghar said businessmen were not opposed to taxation, as responsible businesses understand that taxes are necessary for national development, infrastructure, public services and economic stability.
However, he said there was a need to ensure that tax policies were designed in a way that encouraged compliance rather than creating confusion.
A complicated system, he maintained, can increase costs for businesses and discourage investment decisions.
He called for greater coordination among different government institutions so that businesses are not repeatedly required to complete similar documentation and procedures for different departments.
According to Asghar, a modern economy requires a modern approach to taxation, where technology, transparency and institutional coordination can reduce unnecessary burdens while improving efficiency.
He said simplifying procedures would benefit both businesses and government by encouraging voluntary compliance and improving economic activity.
Cost of compliance affects competitiveness
Asghar said the cost of doing business was not limited to electricity, raw materials and labour expenses.
Administrative costs, regulatory requirements and time spent dealing with multiple procedures also affect the overall competitiveness of businesses.
For large companies, managing compliance requirements may be possible through dedicated departments, but small and medium enterprises often struggle because they have limited resources.
He said SMEs were among the most important contributors to Lahore’s economic activity and employment generation, and their challenges required special attention.
“Small businesses should be supported so they can grow, invest and create more employment opportunities,” he said.
Asghar believes that simplifying compliance procedures can allow entrepreneurs to focus more on production, innovation, customer service and market expansion.
Existing taxpayers should be facilitated
Asghar said Pakistan needs a broader tax base and a fair system where all sectors contribute according to the law.
However, he maintained that businesses already operating within the documented economy should be facilitated instead of facing increasing complexity.
He said economic growth requires confidence among investors and entrepreneurs.
When businesses feel uncertain about future obligations, changing procedures or increasing compliance requirements, they may become cautious about expansion plans.
According to Asghar, a stable and predictable policy environment is essential for encouraging long-term investment.
He said Lahore’s traders and industrialists have the ability to contribute significantly to economic growth, but they need policies that enable them to compete.
Need for business-friendly reforms
Asghar said LCCI should play a stronger role in advocating practical reforms on behalf of the business community.
The chamber, he added, should not only highlight problems but also develop policy recommendations based on research, sector-wise feedback and consultation with stakeholders.
He said issues faced by manufacturers, exporters, wholesalers, retailers and service providers can differ, and the chamber should develop solutions according to the requirements of different sectors.
A stronger research and advocacy role would enable LCCI to present more effective proposals before government institutions, he maintained.
Government-business partnership important
Asghar said economic development was only possible through cooperation between government and the private sector.
The government requires a strong business sector for employment generation, investment, exports and revenue collection, while businesses require effective policies, infrastructure and a supportive regulatory environment.
He said disagreement on specific policies should be addressed through dialogue and institutional engagement.
The role of a chamber, according to Asghar, is to represent legitimate business concerns while maintaining constructive relations with government authorities.
He stressed that the objective should be problem-solving rather than confrontation.
Tax reforms linked with exports
Asghar also linked taxation reforms with Pakistan’s export ambitions.
He said businesses cannot successfully compete in international markets if domestic conditions continue to increase production costs.
Exporters require competitive energy prices, efficient logistics, easier compliance procedures and stable taxation policies.
Lahore, he said, has significant potential in manufacturing, engineering, technology, value-added products and other sectors, but businesses need an environment that supports expansion.
He said LCCI should work towards helping businesses explore new markets while simultaneously advocating reforms that improve competitiveness at home.
Digitalisation can improve efficiency
Asghar said greater use of technology could help simplify taxation and compliance procedures.
Digital platforms, better coordination between departments and transparent processes could reduce delays and improve the relationship between businesses and regulatory institutions.
He said modern economies rely on efficient systems where businesses can complete necessary requirements without unnecessary obstacles.
Technology, he maintained, should be used as a tool to improve facilitation and transparency.
LCCI should deliver practical results
Asghar said the success of any chamber leadership should ultimately be measured by practical improvements experienced by its members.
He said businesses expect representation that understands their daily challenges and continues to pursue solutions.
His agenda for LCCI includes reducing the cost of doing business, improving coordination with government departments, supporting SMEs, promoting exports and creating a more business-friendly environment.
With the LCCI elections scheduled for September 23 and 24, Asghar said taxation reform and business facilitation would remain among the key issues requiring attention from the next chamber leadership.
He maintained that Lahore’s business community has the potential to become a stronger engine of economic growth if unnecessary barriers are reduced and entrepreneurs are provided with a supportive environment.
For traders and industrialists, he said, the objective is clear: a system where businesses can spend more time creating jobs, increasing production and contributing to economic development rather than managing avoidable administrative challenges.
