current affairs MCQ #6942

What tax reform was Pakistan required to implement as part of IMF EFF prior actions?

current affairs MCQ #6942

  1. Question 1

    Q1. What tax reform was Pakistan required to implement as part of IMF EFF prior actions?

    • A) Complete elimination of income tax for the salaried class
    • B) Introduction of a new currency-based transaction tax
    • C) Broadening the tax base and improving Federal Board of Revenue (FBR) collection efficiency
    • D) Replacing sales tax with a flat consumption levy

    Answer: Broadening the tax base and improving Federal Board of Revenue (FBR) collection efficiency

    Explanation: As an IMF EFF prior action, Pakistan was required to broaden the tax base by bringing retailers, wholesalers, and real estate into the tax net, and improve FBR's digital invoicing and enforcement systems.