The Finance Bill 2025–26 will receive the President’s nod today and introduces more than 50 tax exemptions for a range of public entities, charitable funds, and international lending organizations.
Exemptions have been granted to corporatised entities of WAPDA, the Prime Minister’s Special Fund for terrorism victims, the National Disaster Risk Management Fund, PM’s COVID-19 Relief Fund-2020, and the National Endowment Scholarship for Talent (NEST).
The bill also exempts organizations such as the SECP, Privatisation Commission, Audit Oversight Board, Army Welfare Trust, Supreme Court Water Conservation Account, and Balochistan Education Endowment Fund.
Pensions of a former president and his widow are now tax-exempt, along with several state institutions, including the State Bank of Pakistan, SBP Banking Services Corporation, FBR Foundation, Pakistan Council of Scientific and Industrial Research, WAPDA, and Pakistan Agricultural Research Council.
Here’s the full list:
Pension of a former president and his widow
State Bank of Pakistan (SBP)
SBP Banking Services Corporation
FBR Foundation
Pakistan Council of Scientific and Industrial Research (PCSIR)
Pakistan Water and Power Development Authority (WAPDA)
Pakistan Agricultural Research Council
Corporatised entities of WAPDA (until completion of corporatisation process)
Prime Minister’s Special Fund for victims of terrorism
Chief Minister’s (Punjab) Relief Fund for IDPs of NWFP
National Disaster Risk Management Fund
Supreme Court – Diamer Bhasha and Mohmand Dams Fund
Prime Minister’s COVID-19 Pandemic Relief Fund-2020
National Endowment Scholarship for Talent (NEST)
Securities and Exchange Commission of Pakistan (SECP)
Privatisation Commission of Pakistan
Fauji Foundation
Audit Oversight Board
Supreme Court Water Conservation Account
Balochistan Education Endowment Fund (BEEF)
Army Welfare Trust
Public Private Partnership Authority (for tax year 2022 and next four years)
Prime Minister’s Relief Fund for Flood, Earthquake, and Other Calamities (from August 5, 2022)
Export-Import Bank of Pakistan
Deposit Protection Corporation
WAPDA First Sukuk Company Limited
Pakistan Domestic Sukuk Company Limited
WAPDA (on issuance of Rs. 20 billion TFCs/Sukuk for Diamer Bhasha Dam)
WAPDA Second Sukuk Company Limited
Pakistan International Sukuk Company Limited
Second Pakistan International Sukuk Company Limited
Third Pakistan International Sukuk Company Limited
Islamic Naya Pakistan Certificates Company Limited (INPCCL)
Pakistan Mortgage Refinance Company Limited
Pakistan Global Sukuk Programme Company Limited
Shaheed Mohtarma Benazir Bhutto Institute of Trauma, Karachi
National Memorial Bab-e-Pakistan Trust
Pakistan Poverty Alleviation Fund
National Rural Support Programme
Karandaaz Pakistan (from tax year 2015 onward)
Institutions of the Aga Khan Development Network (Pakistan)
International Finance Corporation (IFC)
Asian Infrastructure Investment Bank (AIIB)
Saarc Energy Centre
Asian Development Bank (ADB)
International Islamic Trade Finance Corporation
Islamic Corporation for Development of the Private Sector
ECO Trade and Development Bank
Islamic Chamber of Commerce and Industry (OIC)
Commission on Science and Technology for Sustainable Development in the South (COMSATS)
Saarc Arbitration Council (SARCO)
International Parliamentarians’ Congress
Army Officers Benevolent Fund / Benevolent Fund / Bereaved Family Scheme
(Also applies to Olympic medal winners receiving government awards — effective from tax year 2025)