The new budget will include tax exemptions from various sectors. The imposition of additional taxes may lead to an increase in the prices of numerous goods. A proposal to impose an additional Rs. 200 billion in taxes is included in the new budget.
Essential commodities such as old model cars, mobile phones, food items, chocolates, milk, yogurt, clothes, soap, shampoo, hair color, makeup, perfumes, and lotions may become expensive. Imported milk and clothes may also see a price hike.
The overall tax target of the Federal Board of Revenue (FBR) is proposed to be set at Rs. 12.97 trillion. The GST rate will be increased from 18% to 19%, potentially generating an additional Rs. 100 billion in revenue for the government. A proposal to impose a 6% GST on petroleum products is also under consideration, estimated to generate around Rs. 180 billion in revenue.
