No mini-budget needed to meet tax shortfall, Pakistan assures IMF

The Federal Board of Revenue (FBR) has assured the International Monetary Fund (IMF) that the tax shortfall of Rs 605 billion will be addressed without the need for a mini-budget, as economic review talks between Pakistan and the IMF continue.

According to officials, a plan has been presented to the IMF, under which the shortfall will be met through the settlement of pending tax cases.

The IMF has been informed that the revenue target is expected to be achieved by June; otherwise, expenditure cuts will be made to compensate for any remaining deficit.

The FBR is hopeful of securing Rs 157 billion through the Supreme Court’s upcoming decision on super tax. The apex court is set to hold a crucial hearing on the matter on March 10, with Rs 57 billion expected from the Supreme Court ruling and the remaining Rs 100 billion from the High Court’s verdict.

In addition, the FBR has collected Rs 23 billion under the windfall profit tax imposed through Section 99D and Rs 72 billion from the advance deposit ratio in banks.