Govt reduces relief on annual income taxes

ISLAMABAD: On Thursday, the federal government introduced amendments in the Finance Act 2018’s Income Tax Ordinance, according to which the relief on taxable income has been reduced for the salaried persons.

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For an annual salary of 0.4 million rupees, no tax will be applied, while for Rs400,000 to Rs800,000 annual salary, tax will be Rs1,000.

For Rs0.8 million to Rs 1.2 million rupees annual salary, Rs2,000 tax will be applied. Meanwhile, for those earning from Rs1.2 million to 2.4 million rupees, five per cent income tax will be applied.

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