ISLAMABAD: The International Monetary Fund (IMF) has urged Pakistan to introduce a mini-budget to address a revenue shortfall of Rs385 billion recorded between July and December 2024, ARY News reported on Wednesday, citing sources.
However, sources indicate that the Prime Minister has rejected the IMF’s proposal and has directed the Federal Board of Revenue (FBR) to find alternative solutions to bridge the gap without imposing additional taxes on the public.
In response, the FBR has presented a comprehensive alternative strategy to the IMF, focusing on boosting revenue through various measures. The plan includes the immediate clearance of shipments and containers currently stuck at ports to enhance tax and duty collections. Additionally, seized smuggled goods will be auctioned urgently to generate further revenue.
Efforts are also being intensified to strengthen enforcement against tax evasion and to increase tax contributions from under-taxed sectors. The FBR is prioritizing the resolution of tax-related cases pending in courts to expedite revenue collection.
According to sources within the FBR, these measures are expected to be implemented ahead of the IMF delegation’s visit to Pakistan. Meanwhile, the revenue authority is facing the challenge of achieving a tax collection target of Rs960 billion for January.
The alternative measures aimed at addressing the revenue deficit are projected to be fully implemented by March.
