Agreement between the government and the IMF on the initial outline of the federal budget 2024-25
FBR’s tax revenue target will be increased from Rs 9415 billion to Rs 1100 billion
ISLAMABAD ( WEB NEWS )
Pakistan’s economic watchdog team and the International Monetary Fund (IMF) have reached a consensus on the initial draft of the federal budget 2024-25 for the new government elected as a result of the general elections on February 8. The tax revenue target of R has been increased from 9415 billion rupees to 1100 billion rupees and in this revenue, federal tax collections will be increased by 1185 billion rupees in one year period for which new taxes, bringing sectors outside the tax net into the tax net, exemption of taxes and duties. to end the exemption of taxes and duties and transfer the full burden of taxes to undeserving sectors, the unfair burden of taxes and duties will be transferred to all sectors on a fair basis, in which the target of income tax is 3884 billion rupees. The target of federal excise duty has been increased from 571 billion rupees to 677 billion rupees, the target of general sales tax has been increased from 3425 billion rupees to 4114 billion rupees, the target of customs duty has been increased from 1204 billion rupees to 1410 billion rupees. According to the document of macroeconomic and financial policies agreed between the MF, the total revenue and grants volume of Pakistan will increase from 13.366 billion rupees to 15.344 billion rupees, in which the share of revenue will increase from 13.317 billion rupees to 15.282 billion rupees. Share increased from 11298 billion rupees to 13.188 billion rupees, the revenues of the federal government increased from 10.430 billion rupees to 12181 billion rupees, the tax revenue target of FBR increased from 9415 billion rupees to 1100 billion rupees and in this revenue, the federal tax collections will be increased by 1185 billion rupees in a period of one year. For new taxes, bringing the sectors outside the tax net into the tax net, abolishing exemptions from taxes and duties, transferring the full burden of taxes to the undeserving sectors by abolishing exemptions from taxes and duties, reducing taxes and duties. The unfair burden will be transferred to all sectors on a fair basis. The government and the IMF have also reached an initial agreement on the initial targets of non-tax revenue in the new federal budget 2024-25, in which petroleum surcharge (petroleum levy) is included in the new federal budget 2024-25. The income of the federal government has increased from 918 billion rupees to 1065 billion rupees, the income of gas surcharge has increased from 66 billion rupees to 77 billion rupees, the income of gas infrastructure development cess has been increased from 30 billion rupees to 35 billion rupees. will be maintained and there will be no increase in it. The new targets set for federal and provincial non-tax revenue are to increase the federal non-tax revenue target from 1811 billion rupees to 1854 billion rupees, and to increase the provincial non-tax revenue target from 208 billion rupees to 241 billion rupees. According to the proposal, during the fiscal year 2024-25, the expenditure of the Federation of Pakistan has been set as a target to increase from 21,518 billion rupees to 24,359 billion rupees, in which the amount of non-development expenditure will increase from 19,149 billion rupees to 21,671 billion rupees. The amount of federal expenditure will be 14,555 billion rupees. 16,447 billion rupees increased from Rs. 115 billion rupees from the International Monetary Fund will get a budget support loan. Other expenses increased from 6,069 billion rupees to 6,876 billion rupees. The goal is to increase the subsidy budget from 1396 billion rupees to 1496 billion rupees, increase the value of grants from 1312 billion rupees to 1522 billion rupees, the expenses of the four provinces will increase from 4,591 billion rupees to 5,324 billion rupees. The goal of bringing it up to Rs is to increase the size of the federal development program from 782 billion rupees to 869 billion rupees, to increase the development budget of the four provinces from 1,325 billion rupees to 1,736 billion rupees. 015 billion will reach Rs