New Tax Amnesty Scheme being launched in Pakistan?
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The Federal Board of Revenue (FBR) in Pakistan has given assurances to the International Monetary Fund (IMF) mission during their visit that they will not introduce any new tax amnesty scheme. This development comes as discussions are in progress for the release of the next $710 million installment, as reported by ARY News on Friday, citing insider sources.
A review mission from the IMF arrived in Pakistan on November 2, and their primary focus was to assess the country's progress in meeting the targets established in a $3 billion program that was approved in July of the same year. This program was initiated to provide economic support and stability for Pakistan's struggling economy.
Earlier, the IMF executive board had given the green light to a nine-month standby arrangement (SBA) with Pakistan, aimed at assisting the country's economic stabilization efforts. Following this approval, the IMF disbursed an initial installment of $1.1 billion to Pakistan.
The successful completion of the second quarterly review is pivotal, as it will pave the way for the release of the second tranche of $710 million.
In their initial meeting with the IMF review mission, the Federal Board of Revenue (FBR) presented a detailed report concerning the tax performance for the period of July to September. This report covered aspects such as revenue targets, refund payments, and tax rebates, all of which had been discussed in a prior meeting between the IMF and the Pakistan delegation.
The report highlighted the achievement of the income tax refund target for the July to September period. Additionally, the revenue board reassured the IMF delegation that they are on track to meet the revenue target of Rs9.415 trillion. Furthermore, they affirmed their commitment to not introducing any new tax amnesty scheme.
