Budget 2024-25: Pakistan Proposes Foreign Travel Ban, Increased Taxes on Non-Tax Filers

Wed Jun 12 2024
icon-facebook icon-twitter icon-whatsapp

ISLAMABAD: The Pakistani government is set to intensify measures against non-tax filers, including proposing a ban on their foreign travel.

Under the proposed budget, non-filers will also be subjected to a 75% tax on mobile phone calls. Furthermore, there is a proposal to increase the Advance Withholding Tax on non-filer businessmen from 1% to 2.25%.

The government also plans to hike the Progressive Withholding Tax on all three categories of immovable properties owned by non-filers.

These measures are part of the government’s strategy to bring non-filers into the tax net, along with proposed additional taxes and enforcement mechanisms. The Federal Board of Revenue (FBR) aims to enhance tax revenue through these efforts.

It is pertinent to mention here that the FBR has already blocked SIM cards of non-filers, with plans to disconnect their electricity and gas connections in subsequent phases if they fail to respond to notices.

These measures are part of the government’s strategy to enhance tax collection, as outlined in the upcoming budget being presented in Parliament today. The budget will also see the withdrawal of tax exemptions in sales tax, income tax, and customs duties to bolster revenues.

icon-facebook icon-twitter icon-whatsapp