Islamabad: The Senate Standing Committee on Finance has asked top officials to work on tax slabs again before finalising all recommendations for the 2018-2019 budget. The committee was headed by Farooq Hamid Naek, who has asked the FBR to revisit the impact of revenue from each tax slab before finalising everything.
Former Secretary of Finance Dr. Waqar Masood suggested that the proposed exemption threshold from PKR 1.2 million should be revised to PKR 800,000 for individuals in lower income brackets. While for those in the higher income bracket, the proposed rates have been recommended to be revised to 30% from the present 15%. Apart from this, the committee also issued revalidation of previous acts of the FBR exercised under statutory regulatory orders.
The issuance of notifications and orders of the directorate of intelligence and investigation of Inland Revenue has also been validated by the committee. Whereas, the 1% withholding tax deduction on debit cards has been rejected by the committee as it expressed dissatisfaction with the tax rates for different products.
