ISLAMABAD, Jun 11 (APP): Following are the highlights of budget 2021-22 of Pakistan presented by Minister for Finance and Revenue Shaukat Tarin in the Parliament House here on Friday.
— Support for 4-6 million low-income households, through Interest free business loans (upto Rs.5 lakh)
— Interest free farming loans (upto Rs.2.5 lakh)
— Agri-equipment loans (upto Rs.2 lakh)
— Technical training for 1 person from each household
— Subsidy of Rs. 300,000 for house construction for low-income individuals (Rs. 33 billion allocated)
— Increase in development budget from Rs. 630 billion to Rs. 900 billion, (40% increase)
— For Food Security; Rs. 1 billion for Locust Emergency and Food Security Project,
— Rs. 2 billion for enhancing productivity of rice, wheat, cotton, sugarcane and pulses,
— Rs. 1 billion for enhancement of olive cultivation on commercial scale
— Rs. 3 billion for improvement of water courses
— Rs. 100 billion allocated for construction of four hydro power dams (Dasu, Diamer, Mohmand, Neelum Jhelum)
— Gross Revenues for 2021-22 have been estimated at Rs. 7,909 billion
— FBR revenues are estimated to grow by 24% from Rs. 4,691 billion to Rs. 5829 billion
— Federal expenditures are budgeted at Rs. 8,487 billion compared to Rs. 7,341 billion
— Subsidies are projected at Rs. 682 billion (last year Rs. 430 billion)
— Allocation of Rs. 260 billion for Ehsaas (last year Rs. 210 billion), 24% increased
— Expenditure priorities: Vaccinations $ 1.1 billion, Universal Health Coverage in collaboration with Provinces
— Rs. 12 billion for collateral free lending to SME,
— Rs. 10 billion for Kamyab Pakistan Program,
— Rs. 100 million for anti-rape fund
— Rs. 66 billion for Higher Education Commission budget
TAX PROPOSALS:
— Introduction of self assessment scheme, E-audit system and a strict adherence to no harassment for taxpayers
— No new taxes on salaried class
— Promotion of third party audits and minimizing requirements for tax compliance
— Expansion of GST base and introduction of new simplified Tax Return Form and new tax code
— Withdrawal of FED and reduction of sales tax on locally manufactured cars upto 850cc
— Allowing zero rating to export of IT services
— Exemption to SILOS for storage of agriculture products
— Reduction in withholding tax regime by 40%
— Exemptions on COVID-19 related medical equipment / items have been extended for six months
— For making Pakistan a tourism friendly destination in the World, relief / concessionary measures of more than Rs. 45 billion have been given
— Grant of 10% Ad-hoc relief allowance to all Federal Government employees with effect from 1 July 2021
— 10 % increase in pension to all Federal Government pensioners with effect from 1 July 2021
— Minimum wage increased to Rs. 20,000 per month.
