Tax rate on mutual fund dividends set to rise to 25% in FY25

By MG News | June 12, 2024 at 10:12 PM GMT+05:00

0:00

June 12, 2023 (MLN): The Federal government has proposed that the tax rate on dividends derived from mutual funds that earn 50% or more of their income from profit on debt be increased to 25% for the fiscal year 2024-2025.

At present, dividend income from mutual funds is taxed at 15%.

However, the decision to increase the tax rate is aimed at reducing the arbitrage between individual persons deriving income from profit on debt and persons earning dividend income from mutual funds deriving income from profit on debt.

This is expected to shift mutual funds more towards equity funds, as interest rates are also going down, boosting the already uplifted stock market.

Copyright Mettis Link News

Related News

Name	Price/Vol	%Chg/NChg
KSE100	125,627.31 258.99M	1.00% 1248.25
ALLSHR	78,584.71 1,142.41M	1.16% 904.89
KSE30	38,153.79 69.25M	0.63% 238.06
KMI30	184,886.50 91.38M	0.01% 13.72
KMIALLSHR	53,763.81 554.57M	0.54% 290.61
BKTi	31,921.68 33.15M	1.78% 557.94
OGTi	27,773.98 9.65M	-0.40% -112.21

Symbol	Bid/Ask	High/Low

Name	Last	High/Low	Chg/%Chg
BITCOIN FUTURES	107,830.00	107,860.00 107,555.00	-405.00 -0.37%
BRENT CRUDE	66.63	67.20 65.92	-0.17 -0.25%
RICHARDS BAY COAL MONTHLY	97.00	97.00 97.00	1.05 1.09%
ROTTERDAM COAL MONTHLY	107.65	107.65 105.85	1.25 1.17%
USD RBD PALM OLEIN	998.50	998.50 998.50	0.00 0.00%
CRUDE OIL - WTI	65.00	65.02 64.83	-0.11 -0.17%
SUGAR #11 WORLD	16.19	16.74 16.14	-0.52 -3.11%