Finance Minister Muhammad Aurangzeb announced on Thursday that efforts are underway to simplify the tax return form for the salaried class.
Speaking at a Senate Standing Committee on Finance and Revenue meeting, the minister emphasized the government’s commitment to reducing the tax burden on salaried individuals.
He also revealed that the Tax Policy Wing is being separated from the Federal Board of Revenue (FBR). Starting from the next fiscal year, tax policy formulation will be the exclusive responsibility of the finance ministry, while FBR will focus solely on tax collection.
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During the session, committee members scrutinized the performance of both the finance ministry and FBR. They also inquired about the utilization of foreign funds received to enhance FBR’s capacity.
FBR Chairman informed the committee that the board has successfully met the tax-to-GDP target set by the International Monetary Fund (IMF). Acknowledging a tax shortfall in the first half of the fiscal year, he warned that it could widen in the coming months. However, he expressed confidence that the deficit would be covered by the end of the fiscal year.
