FBR chief denies plan to increase taxes on solar panel imports

Federal Board of Revenue (FBR) Chairman Rashid Mahmood Langrial has denied plans to impose additional taxes on solar panel imports in the budget 2025.

The announcement was made during a meeting of the Senate Standing Committee on Finance on Thursday, where Mahmood responded to a query about the government’s plans regarding tax exemptions.

The FBR chairman said a significant relief has been announced for teachers. From the next fiscal year, teachers will be eligible for a 25 per cent income tax rebate.

For the current year, they will either receive a refund or an adjustment under the same rebate policy.

The FBR chief also stated that efforts are ongoing to secure relief for the salaried class in coordination with the International Monetary Fund (IMF), and discussions are underway to provide support to other sectors as well.

Last year, Federal Board of Revenue (FBR) report revealed significant money laundering activities involving the import of solar panels in Pakistan.

The report, covering the period between 2017 and 2022, highlights over-invoicing by 63 importers, with transactions totaling Rs 69.5 billion.

According to the report, two companies, Bright Star and Moonlight Traders, are allegedly transferred Rs 72.83 billion out of Pakistan while importing solar panels, which they sold for Rs 45.61 billion domestically.