The Pakistani Senate’s Finance and Revenue Committee wrapped up its discussions on the Finance Bill 2024-25, proposing changes aimed at benefiting the public.
The committee revised tax payment rules, adding a surcharge for delays. They also proposed requiring transactions over Rs. 50,000 (excluding utilities) to be made through crossed cheques or bank instruments to encourage financial documentation.
Concerns were raised about proposed taxes on essential items like stationery and infant milk, arguing they unfairly burden the poor. Additionally, the committee questioned the logic behind taxing medical equipment, highlighting potential cost increases for medical procedures.
Recommendations included differentiated tax rates in the telecom sector and tax exemptions for corporate debit card transactions. Uniform sales tax rates for solar industry components and mandatory price labels on consumer goods were also proposed.
Committee members stressed the need for targeted poverty alleviation programs and proposed additional allowances for disabled individuals. They also recommended identifying organizations exploiting tax breaks under the guise of charity.
Senator Zeeshan Khanzada proposed reduced sales tax rates for local and imported supplies in FATA and PATA regions to stimulate economic activity.
The finalized recommendations will be submitted for consideration in the drafting of the final Finance Bill.
