The federal government is reportedly preparing a tax relief package for exporters as part of the upcoming Budget 2026-27, according to sources familiar with the matter.
The development follows a recent meeting between Prime Minister Shehbaz Sharif and representatives of the business community, during which the Prime Minister assured stakeholders that measures aimed at supporting exporters would be included in the next federal budget.
While specific details of the proposed relief package were not disclosed, the Prime Minister reaffirmed the government’s commitment to facilitating the export sector and improving the overall business environment.
Sources indicate that one of the exporters’ key demands—the abolition of the minimum tax regime—may be considered as part of the upcoming budget proposals. Business groups have long argued that the current tax structure places additional pressure on export-oriented industries and affects competitiveness.
In addition to potential tax relief measures, the government is moving ahead with the second phase of its five-year Tariff Reform Plan (2025-2030). Under the proposed reforms, additional customs duty (ACD) will be reduced on 3,149 tariff lines, while regulatory duties (RD) on more than 1,900 tariff lines will be capped at 20 percent.
The planned tariff adjustments are intended to lower the cost of doing business, improve industrial competitiveness, and support export growth.
Sources further revealed that the Federal Board of Revenue (FBR) has been directed to clear pending tax refunds by June 15. The move follows instructions from the Prime Minister and is expected to provide liquidity support to exporters and businesses awaiting reimbursements.
The proposed measures reflect the government’s broader strategy to strengthen Pakistan’s export sector, attract investment, and support economic growth through business-friendly policies in the upcoming fiscal year.
