Business

Finance Minister announces key tax reforms, FBR policy changes

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Digital Desk

ISLAMABAD: Finance Minister Muhammad Aurangzeb has unveiled significant changes to the country’s tax system and Federal Board of Revenue (FBR) policies in Pakistan.

Addressing the budget debate in the National Assembly session, the finance minister said that the powers of the FBR have been reviewed, and arrests will not be made without a court warrant in cases up to 50 million.

He added that a three-member FBR committee will be required for arrests instead of an officer.

Furthermore, he stated that individuals above 75 years old are now exempt from tax, and a tax will be imposed on pensions exceeding 10 million.

“No withholding tax will be levied on personal residences for 15 years, and there will be a 20 percent tax on investment in government securities,” he added.

The finance czar added that the tax on income between 600,000 and 1,200,000 will be reduced to 1%. “E-commerce businesses will be subject to a simplified tax system with limited tax liability.”

He said that the business environment is improving and that the industrial policy will be launched soon.

Digital Desk

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