Govt Plans Tax Hikes, Subsidy Cuts Under IMF-Backed Budget

Govt plans tax hikes, subsidy cuts under IMF-backed budget

The government is poised to unveil a tough federal budget for the fiscal year 2025-26, with sweeping reforms likely to trigger a new wave of inflation as the government looks to meet stringent demands set by the International Monetary Fund (IMF), sources claimed. According to Express News, Virtual talks between Pakistan’s economic team and IMF officials are ongoing, focused on increasing tax revenues and narrowing the country’s fiscal deficit. T…

Pakistan pushes for tax relief to salaried class in IMF budget talks

ISLAMABAD: Pakistan is in talks with the International Monetary Fund (IMF) to address concerns over imposing income tax on the salaried class while meeting revenue targets, ARY News reported citing sources. According to sources, during virtual budget discussions, the IMF questioned how Pakistan would achieve its tax collection goals if tax relief is provided to salaried individuals. The Federal Board of Revenue (FBR) briefed the IMF on measures …

Budget 2025-26 to be presented on June 10, says finance secretary

Federal Finance Secretary Imdadullah Bosal has announced that the federal budget for the fiscal year 2025–26 is tentatively scheduled to be presented on June 10. Speaking informally with journalists on Thursday, Bosal stated that preparations are in the final stages and are being carried out in close coordination with the International Monetary Fund (IMF). He also noted that virtual discussions with the IMF are resuming today, with relief for sa…

PSX Rises Amid Expectations Of Fiscal Discipline, IMF Support - Pakistan Live News

Broker is busy in trading at Pakistan Stock Exchange in Karachi on Wednesday, January 1, 2025. — PPI Investor sentiment lifted the equity market on Thursday, posting strong gains amid optimism over upcoming budget measures and adherence to (International Monetary Fund’s (IMF) fiscal benchmarks. “There is overall optimism on IMF’s dollar being transferred, budget to remain in line with IMF targets ensuring fiscal discipline and continuing growth …

Budget 2025-26: Luxury tax, agri levies under review to meet IMF targets

ISLAMABAD: Pakistan is preparing to unveil a highly austere federal budget in June, as authorities race to secure a fresh bailout agreement with the International Monetary Fund (IMF), a move that could saddle businesses and households with steeper taxes and rising prices, according to people involved in the process.  Government insiders say Islamabad is finalising a package of tough fiscal measures aimed at widening the tax net and reducing the …

IMF demands 18% GST on Agricultural equipment

ISLAMABAD: International Monetary Fund (IMF) has called for further tightening of the country’s agricultural tax system. The IMF has recommended imposing an 18% General Sales Tax (GST) on agricultural machinery, fertilizers, and sprays, as well as increasing the federal excise duty on items used in the production of agricultural products. Additionally, the IMF suggested abolishing the current tax exemption on solar panels, adding more items to t…