According to the findings of a France-based market research firm Ipsos, Pakistan loses more than Rs300 billion yearly due to tax evasion in five economic sectors, with illicit auto lubricants and tyres trade causing the most damage to the exchequer of all. What are the social, economic, institutional and political factors responsible for such huge tax evasions? Discuss.

Discuss · 20 marks · 30 min

About 1200 words. The examiner marks against these:

• ☐ Pakistan link
• ☐ Causes

Debate: Can Pakistan broaden its tax base and document the informal economy?