KARACHI, June 19, 2025 – A firestorm of criticism erupted from Pakistan’s salaried class on Thursday after the federal government unveiled what many are calling a “mockery of relief” in the Budget 2025-26.
Representatives from the Salaried Class Alliance of Pakistan (SCAP) slammed the government’s so-called tax relief measures as “number juggling” designed to mislead the public.
Speaking at a fiery press conference at the Karachi Press Club, SCAP members voiced their outrage over the meager adjustments in income tax brackets, stating that the salaried class continues to bear the brunt of the government’s revenue generation efforts.
“This is not relief, it’s deception,” declared Bilal Farooq Rizvi of SCAP. “The government has made a lot of noise about reducing taxes, but in reality, the burden on the salaried class remains crushing. A Rs10 billion relief spread across the entire working population? That’s peanuts.”
As per Federal Board of Revenue (FBR) projections, income tax from the salaried class is expected to remain near Rs550 billion in FY25 and slightly reduce to Rs540 billion in FY26. Yet, SCAP members argue this does little to ease the load on employees, especially those in the middle-income segment.
The new budget proposes nominal reductions for those earning between Rs600,001 and Rs3.2 million annually, with fixed tax amounts slightly reduced. But those earning above Rs3.2 million will still be paying up to 35% tax, with only marginal relief in fixed components. The super tax was cut by a mere 1%, from 10% to 9%, for those earning above Rs10 million—a gesture SCAP dismissed as tokenism.
Adeel Khan of SCAP pointed out, “Over the past four years, the income tax collected from the salaried class has ballooned 7 to 8 times, yet real relief remains elusive. We’re the easy targets—peaceful, law-abiding professionals who can’t strike or block roads.”
He further added that a monthly tax relief of just Rs7,000 was “a joke” for middle-income earners. “This so-called relief lowers our tax burden from Rs500,000 to Rs493,000 annually. What kind of economic justice is this?”
SCAP member Iesha Fazal called the measures “insulting” and warned the government that if amendments were not made, they would file a legal case. “We demand real, substantial relief. The salaried class deserves respect, not ridicule.”
With the Finance Bill 2025 still awaiting parliamentary approval, the salaried class is urging lawmakers to revisit the tax proposals and deliver genuine financial relief.