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PESHAWAR: The Khyber Pakhtunkhwa government has rejected the Centre’s proposal to deduct Rs6.4 billion at source from federal transfers payable to the province.
Details available with Dawn show that on Aug 5, the finance ministry informed the Accountant General of Pakistan Revenues (AGPR) Peshawar Office about the proposed at-source deduction.
“I am directed to convey to the Government of Khyber Pakhtunkhwa about the at-source deduction of Rs6.4bn for July 2026,” the letter said.
The Finance Ministry, in its letter, informed the AGPR Peshawar that the amount was to be adjusted in the accounts for 2026-27 and requested a formal acknowledgement from the provincial government as to when it would be done.
