Upcoming Budget: Govt considering 10 percent increase in salaries

ISLAMABAD: The federal government is reportedly considering 10 percent increment in salaries of government employees and 15 percent increment in pensions in upcoming budget 2017-18, sources said. 

According to sources, the working has been started on the directions of Finance Minister Ishaq Dar for the upcoming annual budget of the country.

The recommendations suggest that 50 percent of the ad hoc allowance to be merged into basic salaries of government employees along with a ten percent increment.

Similarly, 15 percent increment has been under consideration for the pensions of the retired government employees.

The decision is likely to be finalised by the end of April, sources said.

The government’s fiscal managers also reportedly considering increase in withholding tax on bank transactions, purchase and sale of assets in the upcoming budget.

The government, in a bid to detect tax defaulters, is reportedly formulating a strategy to deal with the tax non-filers.