Mini-budget brings tsunami of inflation as new taxes of Rs170 billion imposed

ISLAMABAD (92 News) - Finance Minister Ishaq Dar presented the Finance Amendment Bill 2023 in the National Assembly on Wednesday.

New taxes of Rs170 billion have been imposed in the bill, while taxes and duties have been increased on several luxury goods.

The bill proposes increasing the Federal Excise Duty (FED) by 50 paisas per kg of cement. A 10% federal excise duty will be levied on sweet beverages. It has proposed to increase the FED on general beverages from 13% to 20%. An advance tax will be imposed on wedding halls, restaurants, commercial lawns and clubs, while a 20% advance tax has been proposed on air tickets.

Addressing the National Assembly, Finance Minister Ishaq Dar said that a national commission should be formed to find out the reasons for the country's economic decline.

He said that during the previous era of PML-N, the country's economy was developing. "In the past, the world institutions recognized Pakistan's economic development. The country has been damaged due to the poor policies of the PTI. This government has managed the economy. The floods have caused a loss of Rs8,000 billion," he maintained.

Ishaq Dar said that Imran Khan's government signed an agreement with the IMF, but later refused the conditions. "Now the coalition government is bearing the brunt of the strict conditions."

Meanwhile, Ishaq Dar also presented the Finance Bill in the Senate. The opposition members protested and raised slogans against the mini-budget. They tore the copies of the Finance Bill and threw them into air.

The federal cabinet has already approved the Supplementary Finance Bill. The government wants to sign a staff level agreement with the IMF by Thursday evening by taking preliminary steps to increase the revenue. After the agreement, the IMF will release an installment of US$1.2 billion.