ISLAMABAD: The Ministry of Finance notified up to 25 percent increase in salaries of government and semi-government corporations’ employees, ARY News reported.
According to the notification, the employees in BPS 1 to 16 will receive a 25 percent salary hike while the officer-ranked employees in BPS 17 to 22 will receive a 20 percent salary increase.
The salary increase is effective from July 1, 2024, bringing relief to thousands of employees across the country. The increase was announced by Finance Minister Muhammad Aurangzaib while presenting the budget 2024-25.
The finance minister proposed 25pc increase in salaries for BPS1-16, 20pc increase in salaries for BPS17-22, and 15pc increase in pensions for retired employees. He also proposed minimum monthly wage be increased from Rs 32,000 to Rs 37,000.
Later, the proposals of the finance minister were approved by the National Assembly.
READ: Budget 2024-25: How much raise in salaries will Pakistan govt employees get?
In the budget for fiscal year 2024-25, the federal government has also exempted those earning up to Rs600,000 per year from paying income tax,
Income tax slabs 2024
- Those earning between Rs600,000 and Rs1.2 million annually will be taxed at 5pc of their income.
- A fixed tax of Rs30,000 will be imposed on individuals earning Rs2.2 million per annum, with an additional 10pc income tax on amounts exceeding Rs1 million.
- Individuals earning between Rs2.2 million and Rs3.2 million will be taxed at Rs1.8 lakh (fixed) + 25pc income tax on amounts exceeding Rs1 million.
- Those earning between Rs3.2 million and Rs4.1 million will be taxed at Rs4.3 lakh (fixed) + 30pc income tax on amounts exceeding Rs9 lakh.
- Individuals earning above Rs4.1 million will be taxed at Rs7 lakh (fixed) + 35pc income tax on the excess amount.
