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BusinessLatest

FBR wants to reduce taxes for certain sectors

By Staff Writer

ISLAMABAD: In view of the shortfall in the annual tax collection target, the FBR has suggested to the IMF to allow it to reduce the tax rate in certain sectors.

The Federal Board of Revenue has proposed to the International Monetary Fund a reduction in tax rates for the tobacco, real estate and beverage sectors over the next three months (April-June).

With the reduction in the tax rate on these major sectors, the FBR has predicted that the volume and transactions in these sectors would significantly reduce at the current tax rates. So the tax collection agency has estimated an additional 100 billion rupees in the national exchequer which can be achieved during the three months of April-June.

Officials said they had informed the IMF, but it was not clear whether the reduction in tax rates will be effective during the current fiscal year or will be part of the budget for the next fiscal year 2025-26.

Staff Writer
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