The Ministry of Finance revealed in the National Assembly that Pakistan issued more than Rs. 11 trillion in tax exemptions across a span of five years.
Lawmaker Shaista Parvez asked a question that prompted this written disclosure, which included an annual breakdown of the exemptions from the ministry.
Tax Exemptions Exceed Rs. 2 Trillion Annually
Fiscal year 2020 to 2021 saw Rs. 1.48 trillion in tax exemptions given by Pakistan, as stated by the Ministry of Finance, and the next fiscal year 2021 to 2022 reached Rs. 2.24 trillion.
During fiscal year 2022 to 2023, the figure rose to Rs. 2.54 trillion, then dropped to Rs. 2.43 trillion for fiscal year 2023 to 2024.
Fiscal year 2024 to 2025 recorded tax exemptions totaling Rs. 2.35 trillion.
For four straight fiscal years, starting from 2021 to 2022 and ending with 2024 to 2025, these exemptions stayed past Rs. 2 trillion every year.
Parliamentary Secretary Barrister Saad Wasim explained that authorities granted these tax exemptions to better the tax system.
