Pakistan Prepares for Sales Tax Hike and Income Tax Overhaul in 2024 Budget

• Pakistan is preparing to increase the sales tax rate in the upcoming budget
• The government is considering a 1 percent hike in the General Sales Tax rate
• This increase could yield an additional Rs180 billion in revenue
• The IMF has set a tax collection target for the Federal Board of Revenue at Rs12.9 trillion
• The IMF recommends eliminating all zero-rating for goods except for exports
• The IMF wants to remove reduced rates for goods under the Eighth Schedule
• The IMF calls for the elimination of compliance-related distortions in the tax system

Source: pkrevenue.com

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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