The FBR has proposed fiscal measures worth Rs36 billion. According to the FBR chairman, this is aimed at providing funds for a reduction in sales tax on solar panels and a 10 percent increase in salaries of government employees. The mini-budget includes imposing an excise duty of Rs10 on a day-old chick, for which an amendment to the Federal Excise Act has been proposed. The relaxation of restrictions on non-filers will help address concerns about negative impacts on the economy and trade. Before the approval of the new budget, the government has imposed a total of Rs462 billion in new taxes, including an increase in the tax rate on income earned from investments by companies in mutual funds and investments in government loans.

The government agreed to relax restrictions on the purchase of cars, houses, plots, investments in securities and bank accounts of non-filers, however, this will not apply to those who own cars worth Rs7 million, commercial plots worth Rs100 million, houses worth more than Rs50 million and those investing more than Rs50 million annually in the stock market. The National Assembly’s Finance Committee, headed by Syed Naveed Qamar, approved the new tax measures. It is worth noting that the IMF had rejected the government’s proposal to impose a 5 percent federal excise duty on daycares.