Silent features of BUDGET 2018-19, ending notes. The budget of fiscal year 2018-19 has been announced by the newly appointed Finance Minister, Miftah Ismail on 27 April 2018. It was the 6th and final budget of the current government PML-N.
Here, we’re wrapping up the silent features of BUDGET 2018-19
- The income of Individuals exempted up to 12 Lacs
- Tax for individual income from 12 lacs and above will be taxed as per slab which has been decreased.
- Data mining concept has been introduced for new taxpayers search
- Allowance of up to one lac dollar exempt but above of this amount will be investigated.
- Immoveable assets undeclared the government within six months can purchase by double price to the declarant, if not proper.
- Elimination of FBR rate for property valuation.
- Filer tax rate against property sale and purchase by 1%.
- GST exemptions sustained same as per last year.
- 5 Sectors under sro 1125 at 0 rated.
- Exports refund will be paid within 12 months 1/7/2018
- Corporate tax reduced to 25% up to 2023
- Real estate investors’ tax decreased to 7.5%
- Non-Filer bank transactions tax rate reduced to 0.4%
- There will be only one Tax audit in three year
- Super Tax to be reduced by 1% each year to end it up by 2023.
- AOP slab decline to 30%
- Undistributed profit drop off to 5%
- Tax on bonus shares abolished
- Dividend tax reduce to 5%
- Now withholding on services would be above RS. 30000/- and on supplies above Rs. 75000/-
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Now, comes to strategy, here are the key targets of the 2018-19 budget.
- Real GDP growth rate of 6.2%
- Inflation to remain below 6%
- Tax to GDP ratio of 13.8%
- Budget deficit of 4.9% of GDP
- Net Public Debt at 63.2% of GDP
- Foreign exchange reserves of $15 billion
- Continuation of social protection programmes