Islamabad: Federal Minister for Finance and Revenue Muhammad Aurangzaib said on Friday that the government plans to raise the Gross Domestic Product (GDP) tax to 13 percent from the current 9.5 percent.
The minister said that the country has achieved macroeconomic stability and by continuing economic stability in the fiscal year 2024-25, “We will lead the country for sustainable economic development.”
Meanwhile, he participated in the 2024-25 budget debate in the National Assembly and now monitors the country’s economic stability and all economic indicators such as the current account, fiscal deficit, inflation, and foreign exchange reserves.
The minister said that the government is ready to go back for the restructuring and digitization of the Federal Board of Revenue (FBR) to increase the tax on CPI to 13 percent. He said there will be no filter category in the tax system and everyone should pay tax.
Aurangzaib said tax evasion will be stopped and net tax will be increased for retailers and real estate sector in the country. He said the current account deficit has been reduced, the fiscal deficit is also under control and the country now has foreign reserves of $9 billion, which has covered 2 months of imports.
He said inflation has come down from 38 percent to 11 percent and also food inflation is now at two percent. He said, reforms in State-Owned Enterprises (BUMN) and the energy sector will begin and the privatization phase will be completed in the next three years.
Govt to increase tax to GDP ratio to 13%: Finance Minister
