Pakistan has formally brought the Finance Act 2026-27 into force after issuing the official Gazette notification today, completing the legal process required to implement the federal budget and making all new tax and revenue measures effective nationwide from July 1.
The notification gives legal effect to the federal budget for the 2026-27 financial year, with all provisions relating to taxation, customs duties, sales tax, revenue collection and other fiscal measures becoming operational from the start of the new fiscal year.
Government officials said the Finance Bill 2026-27 was approved by the National Assembly through a majority vote before being sent to the President for assent. Following the President’s approval and signature, the legislation was forwarded to the Printing Corporation of Pakistan for publication in the official Gazette, after which it formally became the Finance Act 2026-27.
The Federal Board of Revenue (FBR) and other relevant government agencies have been directed to ensure strict enforcement of the new law and implement all taxation and revenue measures contained in the budget from the first day of the new financial year.
Earlier, on June 21, the National Assembly approved 88 demands for grants exceeding Rs43.85 trillion under the 2026-27 federal budget, covering allocations for defence, education, health, communications, water resources and other major sectors.
During the budget proceedings, lawmakers also considered grants relating to the armed forces and defence development expenditure. The opposition did not submit any cut motions against the defence allocations, resulting in the defence budget being approved unanimously.