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THE STANS
Stop extra aid to Pakistan unless tax reform: Britain
by Staff Writers
London (AFP) April 04, 2013


NATO condemns Afghan court attack
Brussels (AFP) April 04, 2013 - NATO head Anders Fogh Rasmussen on Thursday strongly condemned a Taliban attack on a courthouse in Afghanistan which left more than 40 people dead and stressed its continued support for Kabul.

"I strongly condemn yesterday's brutal attack on the courthouse in Farah Province," Rasmussen said in a statement issued from NATO headquarters in Brussels.

"We stand with the Afghan leadership in strongly condemning this indiscriminate assault, which killed many Afghan civilians," he said, adding that "there can be no justification for such an act."

In Afghanistan, officials said Taliban gunmen who killed 46 people in the attack, went from room to room, shooting anyone found as they looked to free other insurgents facing trial.

The killings in the remote western province of Farah raised new fears about Taliban strength and intentions as NATO hands over security to Afghan government forces ahead of its withdrawal from the country in 2014.

Rasmussen has insisted repeatedly that the NATO mission "remains on track" and said Thursday the US-led military alliance "will continue to support the Afghan authorities as they take responsibility for their country's security."

The attack in Farah, which borders Iran, was the deadliest for more than a year and stoked fears the insurgents might be spreading their range of operations, with most fighting up to now concentrated in the south and east.

Meanwhile, a NATO air strike aimed at insurgents in the eastern province of Ghazni on Thursday killed four local police and two civilians, Afghan officials said.

A spokesman for the US-led NATO force in Kabul told AFP that the military was checking the information.

Britain should not increase aid to nuclear-armed Pakistan unless Islamabad tries to make its wealthy elite pay more taxes, British lawmakers recommended Thursday.

Britain is due to double its assistance to Pakistan to �446 million ($675 million) in 2014-2015, making it the biggest recipient of British aid.

But parliament's International Development Committee said it was unfair for Britain to fund health and education projects unless Pakistan's new government, due to be elected in May, tackles "rife" corruption and tax evasion.

"We cannot expect the people in the UK to pay taxes to improve education and health in Pakistan if the Pakistan elite is not paying income tax," the committee said in a report.

"Pakistan's rich do not pay taxes and exhibit little interest in improving conditions and opportunities for Pakistan's poor."

Citing figures from the Pakistan Board of Revenue, the committee said only 0.57 percent of Pakistanis paid income tax last year -- and that no one has been prosecuted for income tax fraud for at least 25 years.

Less than 30 percent of Pakistan's members of parliament pay tax, it added.

The committee said there was a "powerful case" for continuing aid to Pakistan, a country with "real poverty and serious security problems" as well as strong links to its former colonial power.

But it added that past donations have often failed to reach poor Pakistanis because of corruption.

Asked about the report, a spokesman for the Pakistani foreign ministry said it was "a matter of common knowledge" that "all political circles and non-circles have been emphasising the need to broaden the tax base".

But Aizaz Ahmad Chaudhry also told reporters the Pakistani government "would like to focus more on trade and less on aid".

Britain's international development ministry said aid to Pakistan was "predicated on a commitment to economic and tax reform".

"We have made it clear to government and opposition politicians in Pakistan that it is not sustainable for British taxpayers to fund development spend if Pakistan is not building up its own stable tax take," a spokesman said.

"Following the election we will make available practical assistance to the incoming government to help deliver reform of the Pakistan tax system and work with the IMF, but tax and economic reform must take place."

burs/sjd/jm

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