KARACHI, January 20, 2019: In order to provide relief, Pakistan Tehreek e Insaf (PTI) government is considering to abolish withholding tax on banking transactions by filers.
Sources told TheBizUpdate.com that Hammad Azhar Minister of State for Revenue has showed willingness to abolish withholding tax on cash transaction for filers, which are paying some 0.3 percent withholding tax on cash transactions above Rs 50,000 despite submitting annual tax returns.
The formal announcement is expected in the upcoming mini budget to be announced next week by the federal finance Minister Asad Umer, they added.
Sales tax and WHT on used/second machinery will also be abolished in the mini budget. In, addition, government is also considering withdrawing the audit condition for late filers. with this move return filers will be exempted from the audit. Currently annually over one million audit notices are being issued to filers for delay in filing tax return.