POLICY BRIEF - Federal Budget 2024-25: - An Overview of Strategies

Furthermore, except for the first slab, the upper and The tax strategy outlined in the Federal Budget in lower limits of the income brackets have been Brief emphasizes the government's commitment to reduced. [...] The proposal in the current different strategy of relying primarily on tax rate budget to raise tax rates while keeping the tax enhancement and pursuing a more regressive exemption limit the same and changing the slab cut- taxation. [...] Additionally, in 2019-20, the minimum wage was Rs 17,500, and the budget for In addition to major revisions in income tax, the 2024-25 has increased it to Rs 37,000. [...] The outlook for net revenue receipts shortfall indicates that T-bills sold to the private is also positive for 2024-25 as the federal sector by SBP were more than the targeted at the time government heavily relies on both tax and non-tax of the budget. [...] --- Furthermore, the massive growth in SBP profit Policy Brief prepared by Muhammad Sabir and under non-tax revenues suggests the government Muhammad Asif Iqbal intend to borrow heavily from the SBP, essentially The views expressed in this document are those of the monetizing the deficit.