ISLAMABAD: The International Monetary Fund (IMF) has reportedly agreed to withdraw the proposed taxes on solar panels and stationery items following a request by the Pakistani government, sources said.
According to sources, the government has proposed not imposing the planned 18 percent sales tax on solar panels in an effort to support the renewable energy sector and avoid increasing costs for consumers.
The IMF is also said to be considering the withdrawal of the proposed 18 percent sales tax on stationery items, which had raised concerns among traders and the education sector.
Meanwhile, no major changes are expected in taxes on the stock market and tobacco products during the ongoing budget negotiations.
Sources further revealed that discussions on providing relief to the real estate sector remained inconclusive, with no final decision reached so far.
Another round of talks between the government and the IMF is scheduled to take place later tonight.
In addition, a relief package worth Rs60 billion for salaried individuals is under consideration.
The government has proposed increasing the taxable income slab from Rs4.1 million to Rs7 million, while the existing tax slab for employees earning between Rs600,000 and Rs1.2 million annually is likely to remain unchanged.
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