IMF Pakistan tax reform: rationalise concessions, widen net
IMF Pakistan tax advice targets under-taxed sectors and concessions, while Finance Minister Muhammad Aurangzeb says tax design should follow economic value, not revenue targets.
The IMF urged Pakistan to rationalise tax concessions and bring under-taxed sectors into the tax net.
IMF official Jihad Azour said a fair tax system needs stronger revenue administration as well as sound policy.
Finance Minister Muhammad Aurangzeb called taxation a “very critical component” of structural reform.
Aurangzeb said tax design should be led by economic value, not by meeting revenue targets alone.
No new tax rates, rules or deadlines were announced in the remarks.