Daily Times

The International Monetary Fund (IMF) has demanded more tax collection from provinces and imposition of the agriculture tax, official source said on Sunday.

The IMF has urged for imposition of tax on the agriculture income adding that the farm sector paying low tax in Pakistan over its share of income.

The monetary fund has also advised the government to use the national tax council for enhancing provincial taxation. “The province’s tax share in national revenues has been at the minimal level of one percent,” IMF has pointed out.

The IMF has also demanded full tax collection on properties in as well as sales tax on services in provinces. The International Monetary Fund earlier demanded Pakistan to public assets of office holders, government officials, ministers, and parliamentarians. According to sources, the IMF has suggested strict anti-corruption measures in the upcoming budget 2024. The monetary fund directed the government to establish a portal to declare assets of public officials, but the government has failed to do so, sources said.

Pakistan’s authorities are bound to create a portal and disclose asset details under the agreement with the IMF, sources added.

The government had prepared a Performa for officials to disclose their assets, but it was not made public, sources revealed.

Furthermore, banks will now be required to obtain assets information from government officials when opening new accounts, sources said.

BISP funding

Pakistan’s Benazir Income Support Program (BISP), a social safety net for the poorest families, is set for a significant funding boost in the upcoming budget. The government is proposing a record allocation of Rs 593 billion, a 26% increase from the current year, in response to demands from the International Monetary Fund (IMF).