Federal Finance Minister Ishaq Dar officially presented the detailed budget for 2023-24. They announced this budget in the parliament house at 4:00 PM. According to the details, the federal budget size will be 14500 billion. They allocated 41.5 billion for Physical Planning and Construction. For Infrastructure, 491.3 billion rupees. For Water resources, 99.8 billion rupees are allocated. However, they also approved 1150 billion in funds for the Federal development program ( PSDP). Also, they allocated 81.9 billion funds to Education and Higher Education departments.22.8 billion allocated for health departments while the Federal cabinet approves 6.4 billion funds for the energy sector
They also plan to reserve 60.9 billion funds in the Budget 2023 for AJK, Ex FATA. For the awareness and control of diabetes, the Prime Minister’s National diabetes program will start. Fifty million rupees were allocated for this program. For Islamabad cancer hospital, 100 million funds are allocated.
Increase in Salary by 35%
In the meeting, Federal Cabinet also approved an increase of 35% in salaries for employees from Grades 1-16. For grades 17 and above, a 30% increase in Salary is approved.
Pension Increases by 17.5%
Also, increase the pensions of government employees by 17.5%. Minimum wages in ICT will be Rs. 30,000.
Income Tax on Annual Income
10 % super tax on Banking Sector will remain the same. Individuals having an annual income of 15 Crores will pay the 1% super tax. That income is 20 Crores annually and will pay a 2% super tax. 25 Crores income per annum will pay 3% super tax.
Tax on imported machinery and pet foods will increase. Duty on imported mobiles with more than 100 USD will also increase.
Tax on Luxury & Local Cars
There is a proposal to increase the tax on luxury cars. At the same time, the tax on local cars and motors will be according to the value.
Sales Tax on Commodities & Daily Use Items
Tax on imported and branded makeup items also increased. Sales tax on baby milk will be 10%. Packed Chicken sales tax will be 18%. The daily use commodities sales tax also will be 18%.
Sales tax on tea, sugar, Jam, and Jelly will be 18%. The sales tax rate on Soap, Washing Powder is also 18%.
