The Federal Board of Revenue’s (FBR) tax expenditure report for the 2024 fiscal year reveals significant tax exemptions granted to pensioners across Pakistan. Here’s a breakdown of the key findings:
- Total Tax Relief: Pensioners received a total of Rs 41.22 billion in tax exemptions during the last year.
- Breakdown of Exemptions:
- Rs 2.39 billion: Exemption on pensions received from former employers (no longer actively employed).
- Rs 23.32 billion: Exemption for retired government and military personnel (including families and dependents).
- Rs 17.89 billion: Exemption on commuted pensions (lump sum payment in place of regular pension) received from the government or approved pension schemes.
Supporting Financial Stability:
These tax exemptions significantly benefit pensioners by reducing their tax burden and providing them with additional financial resources. This is particularly important for individuals relying on fixed incomes after retirement.
FBR’s Commitment:
The FBR report emphasizes the government’s dedication to supporting vulnerable populations like pensioners. Tax exemptions play a vital role in promoting social welfare and ensuring financial stability for retired citizens who have served the nation.
Looking Forward:
As the government continues to refine its tax policies, ongoing support for pensioners will likely remain a priority. These measures aim to ensure that retirees are adequately supported financially during their golden years.
