Islamabad (Lord Media): The government is preparing to offer income tax relief to the salaried class in the upcoming financial budget. According to sources, tax exemptions are proposed for employees earning monthly salaries of 100,000, 200,000, and 300,000 rupees.
Under this policy, the number of existing tax slabs is proposed to increase from six to eight to provide relief to various income groups according to their capacity. Sources indicate that a reduction in tax rates is proposed for individuals earning annual incomes of 1.2 million, 2.2 million, and 3.2 million rupees.
The government has submitted proposals to the International Monetary Fund for tax relief ranging from three to ten percent. Additionally, it is proposed to abolish the 10 percent additional surcharge on individuals with annual incomes of 10 million rupees or more.
Experts say that if these proposals are implemented, approximately 550,000 individuals earning monthly salaries between 200,000 and 300,000 rupees will benefit financially. The proposal also includes eliminating the one percent advance tax on exporters.
The future of these proposals depends on the IMF’s approval, and the government is awaiting a response, which is expected today.
