The government has intensified efforts to convince the IMF on the issue of agricultural income tax, while preparations for an alternative plan regarding the targets for collection of agricultural income tax from the provinces have also been started.
According to sources, the returns regarding agricultural income tax from the provinces will be awaited till September 30. If the provinces are unable to achieve the desired target of agricultural income tax and its returns by September 30, an alternative plan will be prepared.
In this regard, sources say that consultations may be held with the provinces on the fixed scheme of agricultural income tax in October. If a fixed tax scheme is brought for the agricultural sector, consideration will be given to bringing income tax up to Rs 5,000 per acre.
According to sources, like the business community, farmers and landowners can also be given a fixed scheme in October.
It should be noted that the IMF says that there is a continuous delay in the collection of agricultural income tax. The agricultural sector contributes 24.5 percent to the economy, but its share in taxes is very low, only 0.3 percent.