Pakistan’s federal government is probably going to increase taxes on profit earned through bank accounts and deposits for those who do not fileThe IMF has instructed Pakistan to raise the withholding tax rate on loan profits for non-filers during recent meetings.
Presently, non-filers of profit on debt are subject to a 30% withholding tax deduction from the government.It’s possible that in order to make noncompliance more expensive, the government will raise this withholding tax even more.
The sources further stated that the government has chosen to raise the tax rate on mutual fund dividend income to 5%. In contrast, if a mutual fund receives 50% of its income from debt profits the tax rate on capital gains from funds is probably going to rise to 10% of its income from profit on debt.
