New taxes of Rs 1200 to 1300 billion are more likely to be imposed within the price range of the following monetary yr. These embrace growing the speed of withholding tax for non-filers.
The price range for the brand new fiscal yr consists of a rise within the tax charge on the acquisition and sale of immovable property, a rise in car registration charges, and a revision of the earnings tax slabs for the salaried class for extra income.
Knowledgeable sources informed the every day Enterprise File that the federal government has proposed to the Worldwide Financial Fund that the earnings tax deduction for the salaried class be capped at Rs 10 lakh.
The federal government has additionally proposed to rationalize the tax charge on the particular person stage with out distinguishing between salaried and non-salaried and to scale back the variety of charge slabs.
Based on sources, the FBR can also be contemplating measures to finish tax exemptions for donations and non-business entities.
The Finance Ministry has steered that the complete system of tax incentives be reviewed in order that pointless double tax incentives could be eradicated or harmonized within the system. Emphasis is being positioned on introducing a tax system that has a lot of taxpayers and a low tax charge in order that nobody is burdened unnecessarily.