The federal government has proposed to collect Rs. 200,000 adjustable advance tax from the employers of foreign workers employed as domestic helpers in Pakistan at the time of issuance/renewal of work permit/visa to such foreign helpers.
According to Finance Bill 2023-24, any authority issuing or renewing a domestic aide visa to any foreign national as a domestic worker at the time of issuing or renewing such visa shall collect from the agency, sponsor, or the person as the case may be, employing the services of such foreign national a tax of Rs. 200,000.
The tax collected or collectible under this section shall be adjustable advance tax for the tax year to which it relates to the income of such agency, sponsor, or a person, as the case may be, employing the services of such foreign national.
The proposal highlighted that around three thousand such foreign domestic workers are currently employed in Pakistan and on average earn around $500 a month.