Federal govt likely to announce mini budget to 'meet IMF terms'.

ISLAMABAD -- The federal government is likely to announce mini budget through Presidential Ordinance in next week to revive International Monetary Fund (IMF) and to bridge the tax collection shortfall in first six months of the current fiscal year. An official of the Federal Board of Revenue (FBR) informed that the government is likely to announce mini budget through Presidential Ordinance in next week. Finance Minister Ishaq dar had already announced that the federal government would be shortly imposing flood levy on the affluent and a significant gain tax on banks' foreign exchange earnings to ramp up revenue. According to the official, the government may impose a flood levy ranging from one to three percent on all imports. Meanwhile, a windfall tax on lofty profits in the banking sector is also under consideration.

The government is bifurcating the profits earned by the banks in the form of alleged currency manipulation with their normal income to impose the additional tax. He said that the government has faced tax collection shortfall in December mainly due to the court's decision to...