According to information received from sources, the Federal Board of Revenue (FBR) has sought proposals from the business community on what new taxation measures can be introduced to increase tax rates on the affluent segment. For this purpose, the FBR has invited suggestions from trade and business circles for the upcoming fiscal year’s budget.
Sources said that this year the budget-making process is being initiated earlier than usual to make it more effective and to reduce practical difficulties faced in previous stages. The authority stated: “Under our planning, we are preparing proposals for the Finance Bill 2026, and in order to benefit from the collective experience and views of all stakeholders to improve tax policies, we invite suggestions for the upcoming budget.”
The proposals being sought include measures to broaden revenue collection by expanding the tax base and bringing a larger number of individuals and businesses into the tax net; suggestions to bring the entire value chain of business activities under the GST framework; steps to promote progressive taxation, ensuring that the tax burden falls more heavily on higher-income groups; phased withdrawal of exemptions and concessions under all tax laws; and implementation of reforms to facilitate taxpayers, improve ease of doing business, and eliminate unnecessary complexities in tax laws.
In addition, proposals are sought for measures to reduce opportunities for tax evasion, ensure adherence to the principle of tax neutrality to enhance economic efficiency, and address distortions, loopholes, and inconsistencies within the tax system.
