IMF demands tax on retailers, agricultural income tax and real estate

Islamabad: Two rounds of technical talks between Pakistan and the International Monetary Fund (IMF) review mission will be held today (Thursday), reportedly.

According to media reports, the Federal Board of Revenue (FBR) has shared the tax collection plan for the current financial year with the IMF and after reviewing the plan, the IMF will suggest further measures.

It is reported that IMF has demanded tax collection from retailers, agricultural income tax and real estate and has agreed to immediate new measures in case of shortfall in tax collection.

A proposal to impose a fixed tax on retailers is under consideration, however the IMF is not satisfied with it and has asked the provinces to set a timeline to bring agricultural income into the tax net, told report.

It is also reported that IMF mission has been briefed on the tax policy and the plan to separate tax collection, in which it has demanded to achieve the tax target for the current financial year in any case.

According to FBR authorities, the IMF has demanded that full tax be collected from the sectors where tax collection is low.