Pakistan Budget 2022-2023 Presented to Parliament Including Several Tax Rate and Other Changes

On 10 June 2022, Pakistan’s Federal Budget 2022-2023 was presented to parliament. Some of the main proposed measures are summarized as follows:

• An increase in the corporate tax rate on banks to 45% from 39% (35% + 4% super tax), along with increased rates on taxable income of banks attributable to investment in the Federal Government securities:
  • 55% if the gross advances-to-deposit ratio (ADR) on the last day of the tax year is up to 40%;
  • 49% if the ADR on the last day of the tax year is bet…