The government has decided to extend the tax amnesty scheme until July 31st 2018, the Finance Minister informed ProPakistani on Sunday.
Talking to ProPakistani, Caretaker Finance Minister Dr. Shamshad Akhtar confirmed that the scheme will be extended for one month, with a cut-off day of July 31 due to the increase in demand.
The Finance Minister recommended extension of the cut-off date for availing amnesty schemes as there has been an overwhelming demand and response from it.
The date has been extended by one month to enable the general public to file declarations for undeclared foreign assets and undeclared domestic assets and income, and thereby get their tax affairs in order.
It will also help the government in bringing undocumented persons, assets and income into the documented sector. Depending on the flows, these schemes have the potential to bring in macroeconomic and fiscal stability in the economy.
The scheme, which got off to a lackluster start, saw a surge of interest since the last hearing by the Supreme Court on June 11.
No change has been made in the rates. Earlier, there was a proposal to enhance the tax rates in the extended scheme. It offers varying rates that will be charged on these assets, ranging from 2% to 5%.
According to the Federal Board of Revenue (FBR), the board has received a payment of Rs 100 billion so far.
The tax amnesty scheme, announced by the PML-N government earlier this year, came into effect on April 10, 2018 and was to end on June 30, 2018.
The scheme has been cited as an opportunity for people to file their local and foreign assets without facing any consequences.