- Home
- Technology
- News
Federal budget 2023-24: IT sector receives SME status, freelancers get tax relief
Finance Minister Ishaq Dar, during the unveiling of the federal budget for the fiscal year 2023-24, announces various measures to support the growth of the IT industry.


Islamabad: The federal government on Friday took a significant step towards promoting the Information Technology (IT) sector by granting it the status of Small and Medium Enterprises (SMEs).
Finance Minister Ishaq Dar, during the unveiling of the federal budget for the fiscal year 2023-24, announced various measures to support the growth of the IT industry.
To encourage the IT sector, the government has extended the income tax relief on IT imports until June 2026. Additionally, a venture capital fund of Rs5 billion will be established specifically for the IT sector, aimed at fostering innovation and entrepreneurship.
Recognizing the importance of skilled professionals in the IT field, the government has planned to provide professional training to 50,000 IT graduates, enhancing their capabilities and employability.
In a move to facilitate freelancers, who play a vital role in the digital economy, the government has exempted them from sales tax registration and returns for annual exports up to $24,000. Moreover, a simplified one-page income tax returns form will be introduced, easing the tax filing process for freelancers.
Furthermore, the government extended the concessionary tax rate of 20% for banking companies' income from additional advances to low-cost housing, agriculture, SMEs (including IT & ITeS) for an additional two years. This measure aims to boost these key sectors and promote inclusive economic growth.
In an effort to promote exports, the government plans to encourage online platforms for the export of various commodities, including agriculture products, gems, and metals. Indirect exporters will benefit from a concessionary final tax rate of 1%, further incentivizing export-oriented businesses.

Chasing history: Can Derrick Henry run past seven Hall of Famers to reach top 10 all-time?
- 8 hours ago
DG PDMA warns of rising flood threat in coming 24 hours
- 10 hours ago
Pattoki AC Furqan Ahmed dies of heart attack during flood relief visit
- 11 hours ago
Floods wash away railway track in Sialkot, train services suspended
- 8 hours ago
Two-day Colour & Chem Exhib fetches mega business deals
- 8 hours ago
PM highlights strong Pakistan-China ties during Tianjin University visit
- 10 hours ago
Rescue teams evacuate stranded baraat in Sutlej River flooding
- 8 hours ago

Torrential rains claim 5 lives in Khyber Pakhtunkhwa
- 5 hours ago

Floods, failures, and the future: Rethinking disaster management in Pakistan
- 10 hours ago
Train tragedy in Egypt: 3 dead, 94 injured in derailment
- 5 hours ago
Google urges Gmail users to change passwords amid rising hack threats
- 6 hours ago
Punjab on high alert as India sends another floodwave
- 5 hours ago