Finance Bill 2026

A majority of Pakistani citizens support a 5% withholding tax on social media influencers' income but advocate for a balanced approach to protect small creators and foster the digital economy. The Press Network of Pakistan survey highlights concerns that the tax might discourage young digital entrepreneurs, with YouTube identified as the most affected platform.

President Asif Ali Zardari approved the Finance Bill, 2026, outlining the Rs17.5718.8 trillion budget for FY2026-27. The bill includes tax reforms, exemptions for electric vehicles and mineral water, and amendments from the National Assembly Standing Committee on Finance. The National Assembly passed the budget after rejecting opposition amendments.

The National Assembly passed the Finance Bill 2026, scrapping a proposed tax on low-sugar mineral water and hydration drinks, granting tax breaks for local airlines importing aircraft parts, and adjusting excise duties on electric vehicles based on their dollar value. Traders with turnover up to Rs200 million may opt out of a fixed tax regime, and income from private equity and venture capital funds is now tax-exempt.

The National Assembly Standing Committee on Finance approved 30 major amendments to the Finance Bill 2026, including tax collection reforms for imported mobile phones, mandatory digital production monitoring, and duty waivers for electric vehicles. The revised bill introduces tax stamps, barcodes for goods clearance, and algorithm-based dispute resolution, with final approval pending in the National Assembly.

A parliamentary committee in Pakistan questioned the government's mobile phone taxation policy and proposed taxes on high-end electric vehicles. The committee finalized recommendations for the Finance Bill 2026, highlighting a tiered tax structure for imported mobile phones and revenue figures from Apple devices. Tax relief for airlines was extended beyond Pakistan International Airlines, but lawmakers raised concerns about consumer relief and potential revenue shortfalls.

A Pakistani parliamentary committee debated alleged irregularities in the automobile sector and proposed tax reforms, including zero tax on educational stationery and support for exporters. Disagreements emerged over tax rates for exporters, with some senators opposing higher rates and others advocating for reduced taxes to boost foreign exchange earnings.

A Senate panel approved a 5% tax on earnings from social media platforms by local and foreign digital content creators under the Finance Bill 2026. The proposal includes exemptions for annual income up to Rs600,000 and a 5% tax on earnings between Rs600,000 and Rs1.2 million, with debates over potential impacts on foreign exchange inflows and digital earners.

Kenyans in Nairobi are urging the government to address high fuel prices and reduce taxes on essential commodities ahead of the Finance Bill 2026 presentation by Treasury Cabinet Secretary John Mbadi in Parliament.