Federal Board of Revenue (FBR) Chairman Malik Muhammad Zubair Tiwana announced significant tax collection measures aimed at boosting revenue by over Rs 3,800 billion.
In a detailed briefing regarding the federal budget, he said out of this amount, Rs. 1,800 billion will be garnered through enhanced policy and enforcement efforts.
Chairman Tiwana outlined the government's strategy to abolish various tax exemptions, which is expected to generate substantial revenue.
"Tax exemptions worth Rs4.5 billion have been eliminated, and in the realm of customs duty alone, exemptions amounting to Rs150 billion have been rescinded," he stated.
The new fiscal measures will also impose a notable tax burden on different income groups. The salaried class is set to bear an additional Rs. 75 billion in taxes, while the non-salaried class will face a minimal increase. Furthermore, a 5% excise duty has been introduced on immovable property, including plots and commercial properties.
In a move to streamline and enhance tax compliance, exports will now be subject to the normal tax regime. The rate of withholding tax on retailers has also been increased to capture a broader tax base. Additionally, the budget introduces Rs. 4.5 billion in extra taxes under the sales tax category, alongside a hefty Rs. 70 billion in excise duty.
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