Islamabad: After the unveiling of the budget by Finance Minister Ishaq Dar, Federal Board of Revenue (FBR) Chairman Asim Ahmed explained that the tax collection target for his institution has been increased by Rs 200 billion to Rs 9200 billion. has been kept
Explaining the revenue targets in the proposed budget, Ahmed said that additional taxes of Rs 200 billion have been imposed in the upcoming budget.
The FBR chief said direct taxes of Rs 175 billion have been proposed and indirect taxes of Rs 25 billion have been proposed. He added that the withholding tax on the use of debit and credit cards for foreign payments has also been increased.
Chairman FBR said that 170 billion rupees will be received in the form of additional income tax, adding that tax measures of 22 billion rupees have been added under sales tax.
For overseas Pakistanis, Chairman FBR said that 2 percent tax on purchase of immovable property through remittance is being abolished. He further said that a new diamond card is being launched in the remittance card category.
“Those who send remittances above $50,000 annually will be issued diamond cards,” the FBR chief said.
The government has proposed that non-filers will be subject to a 10 percent withholding tax if they use debit and credit cards on foreign payments, while filers will be subject to a 5 percent tax.
The government has also proposed to restore the 0.6 percent withholding tax on non-filers on cash withdrawals from banks.
Ahmed also said that the budget also proposed an advance adjustment tax of Rs 200,000 per year on foreign domestic workers. POS tax on branded textiles, leather retailers is proposed to be increased from 12 to 15 percent. While POS tax on sports goods retailers has been proposed to be increased from 12% to 15%.
He added that in the document, the government has proposed to remove the limit on the import of Asian vehicles of more than 1300 cc.
Meanwhile, an FBR official present at the press conference said that the government has also imposed a tax of Rs 2,000 on each fan. While 20 percent duty has also been proposed on the use of old bulbs.
The Member Policy of FBR stated that exports of the IT sector are the priority of the government and accordingly the general sales tax on IT services has been reduced from 15 per cent to 5 per cent.
The official also said that the tax rate has been reduced in the construction sector.
Will give business opportunities to the youth. Young people below 30 years of age will be given tax exemption for starting a business. He further said that tax exemption is being given in the agricultural sector.
