Govt likely to impose Rs2,000bn of taxes in budget 2024-25
Business
Measures will push up staggering inflation to the next level
ISLAMABAD (Dunya News) – The government is all set to collect an additional Rs2,000 billion revenue by imposing new taxes in the upcoming budget 2024-25.
The Federal Board of Revenue (FBR) has considered imposing five percent sales tax on petroleum products to collect Rs600 billion while a proposal to abolish all sales tax exemption is also prepared.
The removal of exemption will bring Rs550 billion revenue for the government while the increase in sales tax rate by one percent will generate Rs100 billion.
The increase of one percent in sales tax will push up the rate from 18 percent to 19 percent.
On the other hand, increase of one percent in import duty is also likely.
All the tax proposals have been communicated to the International Monetary Fund (IMF).
The sources said the measures would push up the staggering inflation to the next level. However, the proposals may go under a slight change before the budget, the sources added.
