Islamabad (TASSAWAR NEWS) President Asif Ali Zardari on Saturday approved a change in the composition of the 11th National Finance Commission (NFC) after the government of Balochistan revised its nomination, according to a statement issued by the Presidency.
The NFC, which was constituted on August 22, is tasked with preparing a new award for the distribution of federal divisible resources between the Centre and the provinces. It is chaired by Finance Minister Muhammad Aurangzeb and includes the four provincial finance ministers along with four non-statutory members, one representing each province.
However, its inaugural session had earlier been postponed at the request of the Sindh government due to the ongoing flood emergency.
The Presidency confirmed that following Balochistan’s revised recommendation, Mahfooz Ali Khan has now been appointed as the province’s non ex-officio member in the commission, replacing the earlier nomination.
As outlined in Article 160 of the Constitution, the NFC is mandated to recommend the distribution of the net proceeds from five key federal taxes, which include:
- Income tax (excluding salaries paid from the Federal Consolidated Fund)
- Sales taxes on goods produced, imported, or consumed
- Export duties on cotton and other duties as specified by the president
- Excise duties
- Any other federal taxes determined by the president
In addition, the 11th NFC will make recommendations regarding federal grants-in-aid to provinces and the exercise of borrowing powers by both the federation and provincial governments.
