Finance Minister Aurangzeb Rejects Tax Exemption for Traders

Islamabad: Finance Minister Muhammad Aurangzeb has firmly rejected calls for tax exemptions for traders.
According to the details, the Finance Minister stated that while the IMF does not object to targeted subsidies, these could be provided to deserving segments of society through the Benazir Income Support Programme (BISP). He mentioned that talks with Chief Ministers would take place this week to implement a uniform policy across the country. Additionally, the Federal Secretary of Finance will engage in discussions with provincial secretaries, and a National Financial Agreement with the provinces is set to be prepared within this month.
Minister Aurangzeb also highlighted a $2 billion gap in external financing that needs to be addressed through advance-level negotiations. He emphasized the necessity of securing a commercial loan agreement at this stage. He further noted that discussions regarding debt rollover are in their final stages and progressing positively. Relevant institutions from friendly countries are expected to inform their governments about this matter soon.
The Finance Minister stated that the Federal Board of Revenue (FBR) aims to meet its tax collection targets through digitalization and enforcement. He added that there are no current proposals to increase withholding taxes. While the government is committed to providing facilities and addressing the legitimate demands of traders, removing taxes imposed on them would result in the burden falling on salaried individuals and the manufacturing sector. He stressed that all sectors of society must contribute to taxes to ensure the country’s development.