Govt mulls Rs300bn taxation measures through ordinance
Business
The ordinance is expected to be promulgated during the next 7 to10 days
ISLAMABAD (Web Desk) - Apparently to appease the IMF for seeking fresh tranche of the bailout package, the coalition government is considering burdening the taxpayers with a series of new taxes.
The Federal Board of Revenue (FBR) has reportedly drafted several proposals of new taxation measures of nearly Rs300 billion to be enforced through the promulgation of the Tax Laws Amendments Ordinance, 2023.
The ordinance is expected to be promulgated during the next 7 to 10 days. Initially, the revenue impact has been worked out at Rs200 billion, which has been raised to Rs300 billion.
Among the proposed tax measures are three per cent flood levy, increase in rates of capital value tax rates on imported and locally-assembled vehicles, imposition of tax on banks’ foreign exchange income, increase in the Federal Excise Duty (FED) on sugary drinks, increase in the rate of advance tax on the purchase/sale of the immoveable property, and withdrawal of sales tax exemption on the import of raw materials/inputs used in the manufacturing of export goods.
The said proposals are under discussion between the FBR and the Ministry of Finance but have yet not been finalised.
After the proposals are approved, the Presidential Ordinance will be promulgated.
