Islamabad:
The Permanent Committee of Finance of the Senate has recommended to exempt income tax for people who earn to RS1.2 million per year. In addition, he approved a proposal to increase the limit for property purchases by non -filtering of 130 percent to 500 percent of its declared assets.
The Committee met under the presidency of Senator Salem Mandviwala on Wednesday and made a review of the 2025 Finance Law Project.
During the meeting, FBR officials informed the Committee that a new section has been introduced in the Finance Law Project to bring to electronic commerce businesses and recreational clubs to the fiscal network.
FBR officials declared that under the new budget, a tax on the income of academies and online teachers will be collected, some of which earn up to RS30 million annually.
The Permanent Committee of the Senate on Finance and Income, chaired by Senator Salem Mandviwalo, has entered its sixth consecutive session to review and deliberate on the provisions of the Income Tax of the National Budget for Fiscal Year 2025–26.@Financegovpk pic.twitter.com/c8hui7NCB
– ꜱᴇɴᴀᴛᴇ ᴏꜰ ᴘᴀᴋɪꜱᴛᴀɴ 🇵🇰 (@SenatePakistan) June 18, 2025
The president of FBR, rashid langial, informed the committee that people with an annual income of RS1.2 million could pay RS12,500 in annual taxes. He also said that revenue surcharge above RS10 million has been reduced from 10 to 9 percent.
Langial also declared that recreational clubs, including the Islamabad club, would be taxed under the proposed bill. This proposal was opposed by the president of the Mandviwala committee, who argued against demanding clubs.
However, the president of FBR said that these clubs are exclusive to a privileged few and do not serve the general public.
FBR officials also proposed non -filter restrictions, including the limits in the property and purchases of vehicles. Initially, a 130 percent limit was proposed in the purchase of properties, but Senator Mohsin Aziz suggested to increase it, arguing that a non -filler with RS10 million in declared assets should be able to buy properties worth RS50 million.
After deliberation, the Committee approved the increase in the purchase limit of the property for non -filters of 130 percent to 500 percent.
Senator Shibli Faraz said that taxes of wages of up to RS1.2 million should not be imposed, arguing that a monthly income of RS100,000 is equivalent to only RS42,000 in today’s economic conditions.
The Committee rejected the imposition of taxes on people who earn up to RS1.2 million annually and in small online companies.
The Minister of State for Finance, Bilal Azhar Kiyani, said taxes would apply when income exceeds expenses and emphasized that this measure is directed to the privileged class.
The Minister of Finance, Muhammad Aurengzeb, added that the sanctions for non -filters increased last year and that the efforts are ongoing to take the non -filters to the fiscal network.
A new section, 17C, has been added to the 2025 Finance bill, by virtue of which the online markets that participate in electronic commerce will be taxed. People who provide services through the Internet and electronic networks, such as music, audio transmission and videos, cloud services, online software, telemedicine and electronic learning, will also be subject to taxes.
In addition, online banking, architectural design, research and consulting, digital accounting and other digital services will be taxed. However, the Committee rejected a proposal to tax small online companies.
