Huge revenue target: PTI government mulls multiple new taxes
ISLAMABAD - In bid to accumulate revenue amounting to Rs 5500 billion in the upcoming budget, the government is mulling over abolishing zero-rating regime for five export-oriented sectors and bringing income of distributors and dealers into the tax net.
An estimate by Federal Board of Revenue (FBR) states that revoking zero rating-regime for five export-oriented sectors will generation Rs75 billion in fiscal year 2019-20.
The FBR is also mulling over slashing taxes on import of mobile phones in the range of 10pc to 20pc.
The board has also urged government to slap GST at rate of 70pc. The GST on sugar will be brought at the standard rate of 17 percent.
The excise duty on aerated and beverages will be brought into the tax net. On the other hand, the government is also mulling over reducing taxable income ceiling from Rs1.2 million to Rs0.8 million.
The government is considering revising taxable income ceiling from Rs1.2 million to Rs0.8 million. By revising taxable income ceiling, government aims to collect an additional Rs90 billion in terms of tax.