Pakistan has approved federal budget of Rs18,877 billion for fiscal year 2024-25, imposing new taxes on salaried individuals, business community and industries.
Taxes in Budget 2024-25
| Measure | Details |
|---|---|
| Export Income Taxation | Export income taxed at corporate rate of 29% + applicable super tax, replacing 1% turnover tax. |
| Capital Value Tax (CVT) on Property | CVT applied to farmhouses and homes with 2 kanals in the federal capital. |
| Surge in Federal Excise Duty on Flight Tickets | Excise duty on business and club class air tickets increased up to Rs. 350,000. |
| Petroleum Levy Up by Rs10 per Liter | Petrol, Diesel prices to move up by Rs. 10 per liter |
| 10% Surcharge on High Earners | 10 percent surcharge on the tax liability of high earners. |
| Income Tax on Developers | 15 percent of revenues deemed as income, with 29 percent income tax applied. |
| Hybrid Vehicles to cost more | Reduced rates of 8.5% for engines up to 1800cc and 12.75% for 1801-2500cc until June 30, 2026. |
| Federal Exise Duty on Cement Increased | FED on cement increased from Rs. 3 per kg to Rs. 4 per kg. |
| FATA PATA get extension in Sales Tax | Sales tax benefits for FATA PATA extended until June 30, 2025. |
| Increase in Travel Allowance of Lawmakers | Travel allowance raised from Rs. 10/km to Rs. 25/km, with unused airline tickets carrying over to the next year. |