The budget approved for the current fiscal year by the previous parliament had kept the tax rate on capital gains unchanged at 30 per cent. The interim government has taken a number of steps with regard to the capital gains tax, including reducing the surcharge on the net assets of the investor. “The commission had previously urged the government and the NBR to reduce the capital gains tax as a reasonable measure. Including the surcharge and the capital gains tax, the total tax rate on stock market income could go as high as 40.50 per cent. The new tax rate will be applicable for the current and next fiscal year.
