Islamabad, January 7, 2025 – The Federal Board of Revenue (FBR) on Tuesday called upon stakeholders to submit their tax proposals for the upcoming Budget 2025-26. This initiative aims to enhance inclusivity and transparency in the budget-making process.
In a formal announcement, the FBR invited the business community, tax bars, and other relevant stakeholders, including tax offices, to contribute their insights and suggestions for the fiscal year 2025-26. The move underscores the FBR’s commitment to refining tax policies and ensuring the budget aligns with the economic realities and aspirations of Pakistan.
The FBR emphasized that starting the budget formulation process earlier this year would help streamline the preparation of the Finance Bill, 2025. “To leverage the collective expertise and insights of all stakeholders, we cordially invite proposals for the forthcoming Budget for the Fiscal Year 2025-26,” the FBR stated.
Stakeholders were encouraged to provide their input on several key policy areas that could shape the budget. These include:
• Broadening the tax base to ensure wider participation in revenue generation efforts.
• Introducing measures to incorporate the entire value chain of businesses into the General Sales Tax (GST) regime.
• Promoting progressive taxation by implementing policies that place a higher tax burden on affluent classes.
• Phasing out tax concessions and exemptions across all tax laws to ensure equity.
• Simplifying tax laws and removing redundancies to facilitate taxpayers and enhance ease of doing business.
• Reducing tax arbitrage opportunities and improving economic efficiency through neutrality in taxation.
• Addressing tax distortions, procedural anomalies, and lapses to refine the overall system.
The FBR clarified that these areas are illustrative rather than exhaustive, and proposals should be clear, actionable, and geared toward practical implementation. Recommendations could include additions, deletions, or amendments to existing tax laws.
To ensure timely consideration, the FBR urged stakeholders to submit their proposals by January 31, 2025. This timeline allows ample opportunity for thorough review and incorporation of the suggestions into the budget framework.
By engaging stakeholders early in the process, the FBR aims to make Budget 2025-26 a cornerstone for economic stability and growth, reinforcing Pakistan’s financial resilience. The FBR’s initiative reflects a broader vision of inclusive policy-making, ensuring the budget meets the nation’s socio-economic needs effectively.