Proposal suggests higher taxes for people making Rs100,000 a month
The government is considering imposing higher taxes on people who make Rs100,000 per month.
The monthly tax would be Rs4,950. In the last budget, the tax on people making Rs100,000 per month was Rs166.
A proposal to increase this tax has been presented to the government.
Previously, Rs1,000 was imposed on people who made between Rs400,000 and Rs800,000 per year. People who made between Rs800,000 and Rs1.2 million paid Rs2,000. The proposal wants to do away with tax cuts.
In the last budget, people who made over Rs1.2 million a year were given a tax break of Rs59,500. This break might be ended in the new budget. Similarly, people earning Rs1.8 million a year might not see the Rs107,000 tax break they had earlier.
Tax expert Zeeshan Merchant told SAMAA TV that this move is going to make it difficult for salaried people. In the last budget, the FBR earned Rs50 billion less by giving these tax cuts.