Pakistan, July 24 -- Every June, Pakistan goes through the same ritual.

The federal budget is presented, tax rates are adjusted, exemptions are withdrawn, new measures are introduced, and the Federal Board of Revenue (FBR) is handed another ambitious revenue target. Television studios fill with economists, politicians and business leaders debating whether taxes have increased or decreased, whether the salaried class has received enough relief and whether the revenue targets are realistic.

This year was no different.

To its credit, the government has attempted to ease the burden on salaried individuals by rationalising several tax slabs. For millions of taxpayers, that is a welcome step. It signals an acknowledgement that those already ...