Tax goal
In ongoing discussions with the International Monetary Fund (IMF), Pakistan has agreed to maintain its annual tax collection target at Rs 9,415 billion. This crucial decision, arising from policy-level talks, signifies a significant step in Pakistan’s economic strategy.
The IMF has acknowledged Pakistan’s tax authorities’ commitment to achieving this annual tax target without resorting to a mini-budget. The discussions underscored the caretaker government’s assurance that no new taxes would be imposed. Instead, efforts will be focused on strengthening administrative measures to boost tax revenue.
Sources within the Federal Board of Revenue (FBR) highlighted a pledge made to the IMF regarding plans to expand the tax net through comprehensive documentation within the economy.
This aligns with the goal of meeting the ambitious tax targets set by the IMF. The FBR confirmed submitting a detailed plan outlining the strategy for achieving the Rs 9,415 billion tax collection target, assuring the IMF of Pakistan’s commitment while concurrently aiming to eliminate tax evasion in the real estate sector.
Caretaker Finance Minister Dr. Shamshad Akhtar reassured the public that there would be no additional tax burdens, emphasizing the maintenance of the Rs 9,415 billion tax target.
She stated that the federal government would adopt a policy of fiscal prudence, committing to control the budget deficit by reducing expenses.
Dr. Shamshad Akhtar expressed optimism about the ongoing discussions with the IMF, noting positive progress. She added, “The IMF has demonstrated confidence in the actions of the caretaker government, particularly in supporting the program and development expenditure for the betterment of the country.”
