Some relief for salaried taxpayers

Finance Minister Ishaq Dar on Friday announced several tax relief measures to promote corporate culture and documentation of the economy.

Under the policy, the rate of tax on companies which was 33 per cent this year is being brought down to 32 per cent for the next financial year.

Profit on transmission line projects is being exempted from income tax for 10 years to incentivise the private sector to invest in electricity transmission projects. The facility would be available to all those projects that would be launched by June 2018.

He said presently salaried taxpayers with taxable income between Rs 100,000 and Rs 500,000 pay five per cent tax. This rate is being reduced to two per cent to provide relief to this segment of salaried taxpayers. The rate for non-salaried individuals and association of persons of the same category would be seven per cent as against 10 per cent during current financial year.