Federal cabinet approves tax amnesty scheme: sources

ISLAMABAD: The federal government has given approval to tax amnesty scheme during a cabinet session held under the chair of Prime Minister Imran Khan, ARY News reported on Tuesday.

An important briefing will be given by FBR chairman Shabbar Zaidi and advisor on information Firdous Ashiq Awan on the new tax amnesty scheme at 4:15 pm in Islamabad.

Sources said that the scheme will be applicable to benami bank accounts, whereas, it would be effective for the persons whose cases are pending in the courts.

The individuals, who took charge of government offices after 2000 will not be benefitted with the amnesty scheme.

Suggestions were made during the cabinet meeting to set 4 per cent taxation from the persons who declare their properties till December 31 and 2 per cent for assets’ declaration till September 30, sources said.

Moreover, six per cent tax will be collected on the declaration of foreign assets and four per cent taxation on declaring assets inside the country.

Five per cent tax will be implemented on the declaration of foreign assets till June 30 while it would be increased to 20 per cent till December 31, sources said.

The declared cash assets will be submitted to Pakistani banks and the individual, who are willing to get the benefits of the amnesty scheme, will also have to submit their tax returns besides provision of wealth statement till June 30 – 2018.

Sources added that the persons, who provide wrong assets’ details, will not be given relief under the scheme.

Earlier, Prime Minister Imran Khan reviewed the country’s economic and political situation while chairing a meeting of the federal cabinet.

Among the agendas to be discussed at the meeting is the proposed tax amnesty scheme. The FBR Chairman Shabbar Zaidi is expected to brief the cabinet about the scheme.

Sources said the scheme will be introduced through a Presidential Order.

Besides this, the concerned ministers will brief the premier and the cabinet over steps taken for improvements in the educational system of the country.

Moreover, a briefing will also be given for monthly inflation rate and price control measures for essential commodities.

On April 21, Advisor to Prime Minister on Finance, Revenue and Economic Affairs Dr Abdul Hafeez Shaikh had reviewed Tax Amnesty Scheme 2019.

Dr Abdul Hafeez Shaikh presided over a meeting with the Federal Board of Revenue (FBR) in this regard in Islamabad. A notification of the meeting said the meeting mulled over mechanism and limits of the tax amnesty scheme. “Tax scheme should be made easy and feasible,” said the advisor to PM on finance.