The government this month borrowed $2.5 billion from international markets via a Sukuk and eurobond offers that were vastly oversubscribed and fetched lower-than-expected rates. Ismail told Reuters in an interview late on Thursday he plans tax reforms to focus on widening the tax base, simplifying tax structures, and slashing personal tax rates to encourage more people to file returns. “We have to reduce rates and Prime Minister Shahid Khaqan Abbasi is very eager to especially reduce rates on individuals,” Ismail said at his home in Islamabad. Tax rates on individuals vary in the country, but can be as high as 30 percent for salaried individuals and 35 percent for non-salaried individuals. Ismail said the government has altered its policy of the past few years, under which it had essentially pegged the rupee to the dollar and defended its value.

Source: The Express Tribune December 29, 2017 16:24 UTC