Income tax: What the salaried class will pay now

[B.K.N]

follies of our election engineers would bite in increasingly bigger chunks.

Ham samajh sktay Hain aap Kay Dil par Kya beet rhi hai

 

[Chak Bamu]

View attachment 564893

Ham samajh sktay Hain aap Kay Dil par Kya beet rhi hai

Your idea of trolling needs an update, son. Posting pictures like this would not change anything for anyone.

Look at numbers. That would be a better way of spending your time.

 

[I.R.A]

Your idea of trolling needs an update, son. Posting pictures like this would not change anything for anyone.

Look at numbers. That would be a better way of spending your time.

An off topic question .......... you are trained in martial arts right?

 

[1Paki$tani]

this is a classic poster child IMF budget.

salaried class , screwed

textile sector, screwed, zero rated regime taken away

too much capital controls given to fbr, 50lac property monitoring

nothing else changed from last budget

cars more expensive than ever. and imported cars are banned so i have no cheaper options

i will move to crypto currencies completely now

You have problem with:
1. Indirect taxes;
2. Tariffs as it screws the business;
3. Tax on business profits;
4 Income tax on working class.

So in general terms you have problem with taxes.

Can you post in details the alternative?

 

[blueazure]

You have problem with:
1. Indirect taxes;
2. Tariffs as it screws the business;
3. Tax on business profits;
4 Income tax on working class.

So in general terms you have problem with taxes.

Can you post in details the alternative?

i dont have a problem with taxes,

i have a problem with ;-


1. over taxation

2. high input taxation

3. over bearing tarriffs to protect rotten local industry

4. government waste . pointless projects like BRT, metro, orange line , perks of govt employees who work 9 to 1 bas

5. no relief given to tax payer...

https://en.wikipedia.org/wiki/Peasants'_Revolt

 

[1Paki$tani]

i dont have a problem with taxes,

i have a problem with ;-


1. over taxation

2. high input taxation

3. over bearing tarriffs to protect rotten local industry

4. government waste . pointless projects like BRT, metro, orange line , perks of govt employees who work 9 to 1 bas

5. no relief given to tax payer...

https://en.wikipedia.org/wiki/Peasants'_Revolt

There is no peasants revolt coming to Pakistan.

The reality is Pakistan does not have high taxation problem. We have structural problems with our taxation system no doubt.

How is this over taxation??

As per the above table as person earning 150k a month or 1.8 million a year is only paying 5% income tax.

A person earning 100k or 1.2 million a year only paying 2.5% income tax. Those earning less are paying NIL.

So how is this excessive taxation?? Have you ever examined international taxation regimes?

A person earning 10 million are month is only paying 31% tax. This in my opinion should be 37-40%.


You want government to subsidies fuel, subsidies other services, collection small amount of tax and not obtain loans to fund services.

So how do you propose government does all this without effective and stringent taxation regime.

 

[Baby Leone]

Budget 2020: Use this income tax calculator to see your take-home salary
Easily calculate your monthly income tax deduction and take-home salary for next year.
Dawn.comUpdated about 17 hours ago
The income tax exemptions announced last year, which had generously excluded everyone with a salary of less than Rs100,000 a month (Rs1.2 million a year) from paying income taxes, have been scrapped.

The PTI government has proposed reinstating taxes on everyone making a salary of more than Rs50,000 a month (Rs600,000 a year). The government has also introduced 11 tax slabs with a progressive taxation rate ranging from 5pc to 35pc of income.

Use the calculator below to calculate your income tax liability and take-home salary for next year.

Calculator might take a moment to load. Please wait.

https://www.dawn.com/news/1487784/b...e-tax-calculator-to-see-your-take-home-salary

 

[blueazure]

There is no peasants revolt coming to Pakistan.

The reality is Pakistan does not have high taxation problem. We have structural problems with our taxation system no doubt.

How is this over taxation??

As per the above table as person earning 150k a month or 1.8 million a year is only paying 5% income tax.

A person earning 100k or 1.2 million a year only paying 2.5% income tax. Those earning less are paying NIL.

So how is this excessive taxation?? Have you ever examined international taxation regimes?

A person earning 10 million are month is only paying 31% tax. This in my opinion should be 37-40%.


You want government to subsidies fuel, subsidies other services, collection small amount of tax and not obtain loans to fund services.

So how do you propose government does all this without effective and stringent taxation regime.

you are entitled to your opinion, thats all i can say

reality check ;-

1. companies in pakistan are using new and innovative ways to avoid taxation. legal loopholes will now be fully exploited

2. companies in pakistan are increasingly opening offices in FZEs all over the world to remit payments and avoid excessive tax regimes

 

[1Paki$tani]

you are entitled to your opinion, thats all i can say

reality check ;-

1. companies in pakistan are using new and innovative ways to avoid taxation. legal loopholes will now be fully exploited

2. companies in pakistan are increasingly opening offices in FZEs all over the world to remit payments and avoid excessive tax regimes

The reality is companies all over the world are doing this.

Many mining companies in Australia have opened a subsidiary in Singapore which they use as the marketing and sale company to sell their raw materials to China and other countries. The local parent company sells the raw material at cost to their subsidiary in Singapore thus showing 0 profit whereas profit is generated by the subsidiary. The subsidiary has agreement with Singapore to pay lower tax.

Same thing is happening with other countries. this is nothing new.

The reality is Pakistanis need to pay taxes and the government need to implement effective taxation regime.

I will support withdrawal of subsidy to non-filers, why should they benefit from other people's taxes.

 

[Rashid Mahmood]

Just curios aren't department under MoD Tax exempt? I remember a decade or so ago MoD, MoF and underlying departments were tax exempt.

No they are not.
They have never been tax exempted.

 

[ps3linux]

No they are not.
They have never been tax exempted.

Thank you I stand corrected, there are although exemption on certain portion of income/emoluments but they are justified, however, emoluments of cabin crew read airlines not being taxed is unjustified.

Tax brackets for salaried individuals are now better than Dar and before era, they are now progressive although my monthly tax will double because of my income slab but that is OK, its our responsibility as Pakistanis to pay tax. What "Mufta" did was just a popular decision before election it was never sustainable, every analyst agrees with the fact that it had to be reversed, it impacted the tax collection by over 70 billion p.a.

 

[313ghazi]

Four words: I made a mistake.

I could go back any time I want, but I just love Lahore too much. But it seems continuing to live in Lahore is no longer an option for me & my children. As unemployment and disillusionment increase, follies of our election engineers would bite in increasingly bigger chunks.

I didn't realise you live abroad. I guess you do have a unique perspective then.

 

[Rashid Mahmood]

Thank you I stand corrected, there are although exemption on certain portion of income/emoluments but they are justified, however, emoluments of cabin crew read airlines not being taxed is unjustified.

Income tax is based on the Basic Salary of an individual.

All allowances other than basic salary as approved by the govt are exempted from tax.
(Disturbance allowance, Flying pay, TA/DA, etc)

 

[ps3linux]

Income tax is based on the Basic Salary of an individual.

All allowances other than basic salary as approved by the govt are exempted from tax.
(Disturbance allowance, Flying pay, TA/DA, etc)

For us in the private sector everything becomes part of Gross Compensation Package and thus taxable, with the exception of expenses (TA/DA/Fuel which nowadays are normally at-least at my level BTC and fuel card).

Disturbance allowance/hard area service / risk allowance /flying pay for Aviation wings of both services and that of Air Force are justified and as such should be exempted from tax. It is commercial liners which I don't understand.

 

[VCheng]

Four words: I made a mistake.

I could go back any time I want, but I just love Lahore too much. But it seems continuing to live in Lahore is no longer an option for me & my children. As unemployment and disillusionment increase, follies of our election engineers would bite in increasingly bigger chunks.

Sorry to be blunt, but you have only two options: rectify your own mistake, or make your children work harder to rectify it themselves.