The government has proposed to increase loans for the agriculture sector from Rs1,800 billion to Rs2,250 billion in the federal budget 2023-24 to ensure food security, reported the 24NewsHD TV channel.

 According to the documents, the government has allocated Rs30 billion for 50,000 shifting tube wells to solar panels.

Income tax for freelancers will be 0.25% till 2026 and if a freelancer brings $24,000 annually they will be exempt from tax returns.

The proposed budget documents further suggested that software companies will able to import hardware, and software up to $50,000 without tax.  Sales tax on IT services which stands at 15% is brought down to 5% in the Islamabad area.

The IT sector will be given small and medium enterprise (SME) status and concessional tax will be applicable to them.

Banks will have 20% concessional taxes (exemption) on providing loans to the IT sector.

The government will form an Rs5 billion venture capital fund for the IT sector to encourage entrepreneurs.

The government has proposed to introduce a scheme to give professional training to 50,000 IT graduates in the budget. 

SMEs will be supported through special allocation and SBP loan schemes.

Under the scheme, Banks will have a 20% concession on taxes that will provide loans to agri, IT, and SMEs till 2026. 

SME's turnover threshold has been increased from Rs250 million to Rs800 million.

Likewise, Rs10 billion has been allocated for small businesses under the PM scheme.

The government will bear payments up to 20% if SMEs fail to pay loans.

The federal government also introduced many lucrative incentives for Overseas Pakistanis in the federal budget 2023-24 to increase remittances.

The government introduced incentives for those overseas Pakistanis who send their remittances through formal channels.

The government abolished a two percent final tax on the purchase of immovable property through foreign remittances.

It has introduced a new card namely Diamond Card in the remittances card category for those who would send more than $ 50,000 in foreign remittances annually.

The Diamond Card beneficiaries would enjoy one non-prohibited bore license, Gratis Passport, preferential access to Pakistani Embassies and counsels, and fast-track immigration service at Pakistani Airports.

The new scheme of prizes for Remittances Card Holders would also be introduced.