Good news for salaried class in budget: Aurangzeb

SLAMABAD: Minister for Finance Mohammad Aurangzeb on Friday shared good news for the salaried class and stated that the government has prepared a relief package and it will be discussed with the IMF.

It is relevant to mention here that the IMF’s technical team would be visiting Pakistan from April 14, 2025 for discussing the taxation proposals for the next budget. The FBR has prepared different proposals for slashing tax rates for the salaried class up to 10 percent depending upon different slabs. Under the IMF programme, the salaried class tax burden went up manifold in the last budget and higher income brackets had even argued it seemed they were working only for making heavy payments into the national kitty.

The minister also disclosed that working was underway for further reduction in power tariff till July or before. He also said that a Pakistani delegation would be sent to USA for negotiating on reciprocal tariff.

“We have so far received 98 percent budget proposals as both the public and private sector will work together to prepare the next budget. We will apprise the stakeholders concerned what is possible and what cannot be done,” the minister said while addressing the inauguration ceremony of Gujranwala Exhibition and then talking to the media here on Friday.

He announced that a detailed relief plan for the salaried class was finalised and would be shared with the International Monetary Fund (IMF). Efforts are underway to lower power bills by July, or earlier, he added.

The minister claimed that the government achieved almost all targets under the IMF programme and the Fund’s Executive Board was expected to grant its approval in May 2025.

He explained that the budget will be implemented from July 1, without post-approval changes, to ensure swift execution. Aurangzeb also commented on tax reforms, saying that although tax collection from traders has improved, the trader-friendly scheme should not be linked to revenue collection. A simplified tax return form is being developed for general use, and tax policy will now fall directly under the jurisdiction of the Ministry of Finance from the next fiscal year.