Super tax enforced on Punjab farmers with high income amid PPP opposition

The Punjab Assembly on Thursday passed the Agricultural Income Tax Punjab Bill 2024 by a majority vote, irking the Pakistan Peoples Party (PPP) lawmakers.

The new tax will also be imposed on livestock, while a super tax will be imposed on high-income farmers in 2025.

The Punjab Assembly, which met under the chair of Speaker Malik Muhammad Ahmed Khan, passed the bill. All the amendments presented by the opposition in this regard were rejected, while the ruling coalition party, the PPP, strongly opposed the Agricultural Income Tax Act 2024 Bill.

As the PPP legislators walked out of the house while objecting to the Agricultural Income Tax Bill, the PML-N benches wasted no time to approve it. 

PPP’s Ali Haider Gilani said that the Punjab government didn’t take the bill into confidence and was walking out of the house while rejecting all the amendments of the opposition.

According to the bill, income tax exemption on agricultural land will be abolished, while tax on livestock will also be considered an agricultural tax.

According to the text of the bill, a fine of one per cent of the tax amount will be imposed on the agricultural income tax defaulter for each additional day. A fine of 10,000 may also be imposed on an agricultural tax defaulter with an agricultural income of less than Rs1.2 million.

Similarly, a fine of Rs25,000 will be imposed on an agricultural tax defaulter with an agricultural income of less than Rs40m and a fine of Rs50,000 will be imposed on an agricultural tax defaulter with an agricultural income of more than Rs40m.

The text of the bill further states that a fine of Rs20,000 will be imposed on a farmer with an income of Rs1.2m to Rs40m for not paying tax. The Agricultural Income Tax Act 2024 has also abolished the tax schedule listed in the Agricultural Income Tax Act of 1997.

After the approval of the Agricultural Income Tax Bill, it will be implemented in 2025.

Furthermore, the Punjab Assembly approved the Registration Amendment Bill 2024 and the rules on the authority of the Chief Minister's Advisor to speak in the House by a majority vote.

Upon completion of the agenda, Speaker Malik Muhammad Ahmed Khan prorogued the session indefinitely.