The inside story of the negotiations between the Pakistani authorities and the IMF has come out. During the negotiations, a proposal to increase the tax on cash withdrawals from banks by non-filers was approved.
0.6% advance tax is levied on bank withdrawals of non-filers above Rs 50,000.
According to sources, the FBR proposed to increase the tax rate on cash withdrawals of non-filers from 0.6 percent to 0.9 percent, which the IMF agreed to.
Sources say that it is estimated to collect more than 15 billion rupees in taxes annually in the form of advance on cash withdrawal.
