Essential food items: Tax exemptions will continue: FBR

Updated 12 May, 2022

ISLAMABAD: Federal Board of Revenue (FBR) Chairman Asim Ahmed said Wednesday that the policy measures to be taken in the next federal budget would have a direct impact on the estimated projections and revenue collection target to be set for 2022-23.

Talking to reporters at the Parliament House here on Wednesday, the FBR chairman said that the consultations are underway for finalization of the next year’s tax collection target. Obviously, the tax policy measures would be taken in the coming budget (2022-23). These policy measures would have an effect on setting the next fiscal year’s tax target.

He said that tax exemptions on essential food items and commodities consumed by the general public would continue during the next fiscal year (2022-23).

The FBR would ensure that the exemptions which would affect the common man would not be withdrawn in the coming budget, the FBR chairman said.

Hamstrung by economic issues

The FBR chairman said that the FBR and the International Monetary Fund (IMF) would discuss the withdrawal of tax exemptions in the coming budget.

The tax exemptions would be withdrawn in the coming budget, but the exemption on essential items and food commodities would continue to facilitate the general public.

At present, the tax machinery’s full focus is on the achievement of the upward revised revenue collection target of Rs6.1 trillion. The tax authorities are confident that the FBR will achieve the revenue collection target of Rs6.1 trillion by the end of the current fiscal year, the FBR chairman added.

Copyright Business Recorder, 2022

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