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National Assembly approves Budget 2026-27 with revised duties

According to the changes, adjustments have been introduced in selected vehicle duties alongside updated penalty structures for tax violations. Officials say the revisions are aimed at improving enforcement and increasing documentation within the formal economy.

In a major policy shift, the FBR has also made e-filing compulsory for taxpayers from the start of July. The move is intended to strengthen digital compliance, reduce manual processing, and improve transparency in tax collection.

Authorities believe the new system will help widen the tax net and streamline reporting procedures, although concerns remain among some taxpayers regarding digital access and system readiness.

The National Assembly has approved the Budget 2026–27, with the Finance Bill introducing revised import duties on vehicles, tighter Federal Board of Revenue (FBR) compliance requirements, and mandatory electronic tax filing.

Under the Finance Bill 2026–27, imported vehicles with engine capacities between 2,000cc and 3,000cc will be charged 86% duty, while those above 3,001cc will face a higher 92% duty starting from July 1.

The new policy measures are part of broader fiscal reforms aimed at strengthening tax enforcement, improving compliance, and expanding the use of digital systems in revenue collection.

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