The Association of Chartered Certified Accountants (ACCA) Pakistan has released a comprehensive proposal for the upcoming federal budget, presenting a well-rounded, reform-oriented roadmap to strengthen Pakistan’s taxation system and promote sustainable economic growth.
In a statement, ACCA Pakistan said the proposal reflects over a decade of engagement with Pakistan’s fiscal reform process and is informed by extensive consultation with its Members’ Network Panel, comprising experienced finance professionals from leading firms and industries nationwide. This year’s document also includes insights from ACCA’s key Professional Insights reports, including Tax as a Force for Good; Public Trust in Tax; Technology and Tools of Tax Administration; and Business Confidence Survey, providing a rich global context to the local challenges.
“ACCA’s tax tenets stress simplicity, certainty, efficiency, and fairness,” said ACCA Pakistan chief Assad Hameed Khan. “Our proposals reflect the voice of our members working across diverse sectors in Pakistan and are grounded in both international best practices and local realities,” he added.
“ACCA’s budget proposal recognizes the urgent need for systemic reform and a vision for a self-reliant and prosperous economy,” said ACCA Asia-Pacific Executive Director Aucky Pratama. “It sets out a clear, practical pathway for transforming Pakistan’s taxation system into one that not only raises revenue but actively enables economic opportunity and citizen trust,” he added.
ACCA head of Member Engagement Haroon Jan said the proposal reflected the collective insight of the professional community in Pakistan. “We’ve worked hard to ensure that the recommendations are practical, policy-relevant, and guided by ACCA’s global best practices, while staying grounded in the realities of Pakistan’s tax and economic landscape,” he said.
Key Highlights
- Simplification: Proposal to establish an independent Tax Law Simplification Commission, building on international models like the U.K.’s Office of Tax Simplification and India’s Direct Tax Code initiative.
- Certainty: A proposed 3-5-year Tax Policy Roadmap to improve predictability, support business planning, and attract investment.
- Openness and Transparency: Recommendation for a Taxpayer Engagement and Transparency Portal, modelled on Canada’s CRA and the U.K.’s HMRC public consultation mechanisms.
- Fairness: Harmonized tax rates for salaried and non-salaried individuals, equitable treatment of sportspersons and professionals, and a 35% marginal tax rate for income exceeding Rs. 50 million.
- Incentivization: Targeted tax relief for I.T. and A.I.-based R&D, green economy investment, and documented trade
- Digital Enablement: Expansion of mandatory e-filing and POS integration, with support from global examples like Estonia’s e-Tax Board and India’s AI-driven tax audits.
- Dispute Resolution Reform: Proposal to reinstate judicial neutrality by appointing tribunal members through the Federal Public Service Commission.
- Accountability: Establishment of an Independent Tax Oversight Body, following the models of TIGTA (U.S.) and Australia’s Inspector-General of Taxation.
The proposal includes strategic extracts from ACCA’s global Professional Insights reports to link policy with global best practices and thought leadership. It says the top 3 roadmap priorities are Tax Law Simplification; Policy Certainty; and Real Estate Valuation Reform.
“This document reflects our intent to contribute not just as technical advisers, but as partners in Pakistan’s economic development journey,” said Rauf Ali Jan, Chairman of ACCA Pakistan’s MNP and Head of the Taxation Subcommittee.
The ACCA reiterates its willingness to work alongside public institutions, businesses, and civil society to support a fiscally sustainable and investment-friendly environment. The full proposal is available on request and will be shared with key stakeholders and decision-makers in the coming weeks.