The Overseas Investors Chamber of Commerce and Industry (OICCI) has put forward several significant proposals for the upcoming federal budget for 2024-25, raising questions about the future of the 5000 rupee note.
One of the standout recommendations from the OICCI is the discontinuation of the 5000 rupee note. The chamber believes this step is crucial to discourage cash transactions and promote a more documented economy. This proposal has sparked considerable interest and debate among stakeholders, as the 5000 rupee note is widely used for large transactions.
In addition to this, the OICCI suggests that opening a bank account should require a National Tax Number (NTN). This move aims to enhance tax compliance and ensure that more financial transactions are tracked and taxed appropriately.
The chamber also proposes making the NTN mandatory for several high-value activities:
- Purchasing and selling vehicles
- Buying and selling high-value properties
- Foreign travel
- Club memberships
To further tighten tax regulations, the OICCI recommends establishing a separate wing within the Federal Board of Revenue (FBR) dedicated to identifying and investigating assets and income that do not match the declared income of non-filers.
Moreover, the OICCI suggests removing the tax exemption currently enjoyed by pensioners and imposing income tax on all airline tickets. Another proposal includes implementing a withholding tax on hotel and travel expenses.
The OICCI, representing 200 multinational companies, aims to support the government in increasing tax revenues and reducing the informal economy. The implementation of these proposals, particularly the discontinuation of the 5000 rupee note, could significantly impact cash-based transactions in Pakistan.
As discussions on the federal budget for 2024-25 continue, all eyes are on the government’s response to these recommendations and the potential discontinuation of the 5000 rupee note.
 has put forward several significant proposals for the upcoming federal budget for 2024-25, raising questions about the future of the 5000 rupee note.){kind=link}