Islamabad: The Federal Board of Revenue (FBR) must collect PKR 5,624 billion in the remaining four months of the fiscal year 2024-25 to meet its annual target of PKR 12,970 billion. So far, the tax authority has collected PKR 7,346 billion, leaving a shortfall of PKR 601 billion.
In February alone, the FBR provisionally collected PKR 850 billion, falling PKR 133 billion short of its PKR 983 billion target. Officials warn that the total revenue gap for the fiscal year could exceed PKR 600 billion, raising concerns about meeting financial commitments.
To address the shortfall, the FBR is intensifying enforcement actions, audits, and legal recoveries, with PKR 2.7 trillion tied up in pending court cases. The tax authority also proposed reducing tax rates in the beverage, tobacco, and real estate sectors to encourage transactions and generate an additional PKR 100 billion between April and June. However, the International Monetary Fund (IMF) has declined these proposals.
If the revenue gap persists, the FBR and IMF have agreed on contingency tax measures that could generate PKR 216 billion annually. These include raising sales tax on textiles and leather, imposing a PKR 5 per kg federal excise duty on sugar, and increasing advance income tax on imports, supplies, and services.
With only four months remaining in the fiscal year, the FBR is under growing pressure to meet its collection target. The IMF-backed revenue measures are likely to play a crucial role in bridging the shortfall.
Samra Zulfiqar, a real estate analyst at Zameen.com, is passionate about finding projects that offer buyers the best returns. Her keen insights spotlight the market’s most promising opportunities.
