RCCI Alarmed by 40% Tax Increase in Budget 

News Desk 

Rawalpindi: There are serious concerns among the business community regarding the fiscal budget for 2024-25.The budget has imposed multiple burdens on already existing taxpayers.

The target for tax revenue has been set at 12,970 billion rupees, which is 40 percent more than the taxes imposed in the current year’s budget.

In a joint statement, President of the Rawalpindi Chamber of Commerce and Industry (RCCI), Saqib Rafiq, and group leader Sohail Altaf announced an important meeting on the post-budget situation. 

The meeting will be held at the Rawalpindi Chamber of Commerce and Industry on Thursday to assess the budget’s impact and discuss a plan of action for the future.Business organizations, associations, industry stakeholders, and representatives will also participate in the meeting.

President Saqib Rafiq stated that the increase in taxes will negatively affect business activities and significantly raise the cost of doing business. Group Leader and former President Sohail Altaf criticized the lack of consultation with the business community in this budget.

He noted that the salaried class is already struggling with inflation, and the upper limit of income tax for this group has been increased to 45 percent, which he deems excessive. With the imposition of a super tax, the rate climbs to 55 percent.

The sales tax rate on food items has been increased to 18 percent, which will further drive inflation. Additionally, poultry feed and cattle feed are now taxed at 10percent.

The construction sector, already under pressure due to Section 7E, faces increased taxes in this budget. This will hinder overall growth and economic activities in the country.