ISLAMABAD – The federal government has announced a major relief to senior Pakistani citizens in budget for next fiscal year 2022-26.
Wrapping up the debate on budget in the National Assembly, Finance Minister Muhammad Aurangzeb said individuals over the age of 75 are exempted from tax.
He said that the powers granted to the FBR have been reviewed, and in cases up to Rs50 million, arrests cannot be made without a court warrant.
The minister added that there will be no withholding tax on personal residence for up to 15 years, and there will be a 20% tax on investment in government securities.
Muhammad Aurangzeb said that the government is aware of the tax burden on the salaried class; therefore, it has been decided to impose only one percent tax on income between Rs600,000 and Rs1.2 million.
A tax on e-commerce was proposed, but now e-commerce is being shifted to a simplified system, and tax on them will be limited.
The finance minister stated that the powers of the FBR have been re-evaluated; in cases up to Rs50 million, arrests cannot be made without a court warrant.
Arrests will be made not by a single officer but by a three-member FBR committee.
He said that efforts are being made to improve the business environment, and an industrial policy will soon be launched.
The government has presented a balanced budget and has reduced public expenditure.
