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Punjab amends tax deduction mechanism for govt employees


Punjab govt employees tax

LAHORE: As per the details of Punjab Finance Amendment Bill 2025, the provincial government has introduced a new amendment to the tax deduction of employees.

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In case of non-deposit of tax, the excise department will take action, the bill says.

The distributing officer will be bound to deduct tax from the salary of employees, and will also be bound to deposit tax in the treasury.

The distributing officer of every government or private institution is bound to deposit tax deduction. If the officer is negligent, he will pay the amount of this tax himself, the bill said.

The excise department will issue a recovery order against the guilty.

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The aim of the bill is to stop tax evasion and increase revenue in the government treasury, the text of the amendment bill said.

The bill was handed over to the relevant committee, which will now submit a report after two months.

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