'Mini budget': Govt agrees to impose Rs215bn new taxes to ink IMF deal
Business
Ishaq Dar shares details of new taxes in the National Assembly
ISLAMABAD (Dunya News) – As the government apparently nears the IMF deal, Finance Minister Ishaq Dar on Saturday said the government had agreed with the IMF to impose new taxes worth Rs215 billion and quashing pensions for some departments.
Addressing the National Assembly (NA) session, he said the government had been holding negotiations with the IMF with good intentions for last three days, adding that he wished the agreement was signed as soon as possible. “We’ll upload it on the website to make it public,” he added.
He went on to say that the government had agreed to the IMF’s demand, adding that it would not affect the poor. “We’ll reduce expenditures by Rs85 billion and this reduction will not affect salaries and pensions,” he added.
— Ministry of Finance (@FinMinistryPak) June 24, 2023
The government had increased the FBR’s collection target, the minister said, to Rs9,415, adding that the SBP had lifted the restrictions on LCs for imports. “The government is trying to increase forex reserves,” he added.
He continued by saying the government had decided to impose ban in December owing to the country’s situation, adding that the country’s economy was on its way to betterment. “We have lifted the ban on imports,” he added.
As for the super tax, he said super tax would continue with slight changes, adding that the tax had been introduced last year. “The companies earning more than Rs500 million in profit will have to pay 10pc super tax,” he added.
وفاقی وزیر خزانہ اسحاق ڈار کا قومی اسمبلی کے بجٹ اجلاس میں اظہار خیال
— National Assembly (@NAofPakistan) June 24, 2023
امپورٹس کے حوالے سے پابندیاں ختم کی جا رہی ہیں pic.twitter.com/v3oGFAKQSK
Ishaq said the government had got a limited authority on petroleum products, adding that it would increase the petroleum levy from Rs50 to Rs60. “A withholding tax of 15pc on the profit of bonus share will continue,” he added.
The minister went on to say that the government had imposed FED on fans using more electricity, adding that fans’ prices were not raised by Rs2,000 for the poor. “We are extending the deadline for taxes by six months,” he added.
Regarding pensions, he said the government was initiating pension reforms, adding that a pensioner would not get more than one pension. “Pensioner’s children will get pension for 10 years after their (pensioner) husband or wife dies,” he added.
