ISLAMABAD: The federal budget for the new fiscal year will be presented in the first week of June. The government has decided to prepare this budget in accordance with the conditions set by the International Monetary Fund (IMF).
It is proposed that relief will be provided to the salaried class, and in consultation with the IMF, the super tax will be gradually reduced. Additionally, the stipend for Benazir Income Support Programme (BISP) beneficiaries will be increased by Rs. 5,000.
In the budget for the fiscal year 2026-27, it is proposed to abolish income tax and sales tax exemptions for various sectors. No new tax exemptions will be granted, including to special economic zones. Current tax exemptions enjoyed by special economic zones will also be eliminated.
Furthermore, there will be a ban on selling finished products from export zones in the local market. Regular and timely increases in electricity and gas prices will be made mandatory. The IMF has said the need to tighten tariff adjustments in alignment with the loan program. The quarterly stipend for BISP beneficiaries will be increased from Rs. 14,500 to Rs. 19,500.
The audit system of the Federal Board of Revenue (FBR) will be strengthened and centralised. The creation of new economic zones will remain banned in the federal budget for the time being. Restrictions related to foreign exchange will be relaxed in a phased manner, and the Pakistan Regulatory Registry is set to be established by 2027.
