Government Considers Tax Relief for Lower-Income Salaried Class in Upcoming Budget

Islamabad – Nearly a week after Federal Finance Minister Muhammad Aurangzeb assured relief for the financially burdened salaried class, sources now reveal that the government is actively working on a detailed plan targeting individuals in the 5% income tax bracket.

The proposed relief is expected to benefit individuals earning annual salaries between Rs600,000 and Rs1,200,000. This income range currently falls under the 5% tax slab, and any exemption or reduction in taxes would provide much-needed financial ease for this segment of the population.

According to the Federal Board of Revenue (FBR), the proposal for tax relief is subject to the approval of the International Monetary Fund (IMF), as Pakistan continues to align its fiscal policies with international commitments.

Officials involved in the matter are preparing to present the relief plan to Prime Minister Shehbaz Sharif. The discussions will include the potential revision of tax slabs, particularly for those earning around Rs50,000 per month, and a simplified process for income tax return filing.