The federal government is considering a 2 percent increase in taxes on income earned from savings accounts and bank deposits, as part of ongoing discussions with the International Monetary Fund (IMF) ahead of the 2025-26 budget, official sources told ProPakistani.

The proposed tax hike would apply to both filers and non-filers, and is being weighed as a measure to provide relief to the salaried class, which has been hit hard by high tax rates in the outgoing fiscal year. The move comes as the government seeks to rebalance the tax burden and address a decline in overall tax revenues.

While the plan is intended to ease pressure on salaried taxpayers, the IMF has yet to give its final approval. The Fund has asked the government to present a comprehensive set of measures to offset any potential shortfall in tax collection resulting from the proposed relief.

Sources say the government is working to finalize a balanced approach that meets IMF requirements while providing much-needed relief to the salaried segment. The final decision is expected to be reflected in the upcoming federal budget.