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Benefits to Government


Government will collect revenue equivalent to the budgeted revenue of the whole year in the very few days of the fiscal year, as people will purchase coupons in massive volume. Estimated three percent wealthy population of our country will spend millions of rupees to buy coupons in the beginning of the year so that they can sell at higher rates after the expiry of concessionary period. However not well to do will pool their funds to buy coupons at the discounted rates. Parallel economy (black money) in Pakistan is estimated at USD 100 billion which becomes white over night of converted into coupons or duty free option, because of massive profit would be available to the persons holding such money. Even 50% conversion will bring USD 50 billion to government through which external debts can be retired spontaneously. How and why? At present 90% goods brought are smuggled. This channel will be replaced by legal duty free options with much more profit than before. The business community can get the benefit of this system by paying 5% cash or 15 % coupons of every transaction to P1VIF (constituted under IVIBC System). This entitles them either to get coupons @6 per rupee or avail the option of duty free import of raw material or machinery equivalent to the amount of merchandise sold through PIVIF. In this way the whole chain from manufacturer to retailer prefer to pay 15% coupon to get more incentives. This will become a gold mine to the government and the general public, as transaction valuing trillions of rupees are executed daily and the Govt. starts receiving 2.5% of every transaction.

The aforementioned factors help in increasing government revenues manifold and at that stage the government shall declare country a tax-free state. This will benefit the public and bring prosperity and growth to the businesses and will result in massive inflow of foreign investment. A daily prize draw of 10 million Rs. will be another compelling incentive to buy coupons in bulk and will replace all kinds of saving certificates and bonds.


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