‘Rs633 billion’: Pakistan salaried becomes largest tax contributor in FY2025-26

Rs633 Billion Pakistan Salaried Becomes Largest Tax Contributor In Fy2025 26

ISLAMABAD – The Federal Board of Revenue (FBR) data for the fiscal year 2025–26 shows that Pakistan’s salaried class emerged as one of the largest contributors to income tax, paying approximately Rs633 billion during the year.

According to provisional figures, this amount exceeded the combined tax contributions of several other key sectors, including exporters, real estate, and retail.

Exporters paid around Rs174 billion, while real estate sellers contributed approximately Rs191 billion under withholding tax provisions. The retail sector generated nearly Rs70 billion in withholding tax during the same period.

FBR data indicates that overall tax collection for the fiscal year stood at Rs13,010 billion. The salaried segment saw an increase in contributions compared to the previous year, when it paid Rs585 billion in income tax.

Officials noted that taxes from salaried individuals are directly deducted from incomes and deposited into the national treasury.

In contrast, exporters’ contributions remained relatively stable compared to the previous fiscal year, showing only a slight change from Rs176 billion to Rs174 billion.

Within the real estate sector, collections under relevant withholding tax provisions showed mixed trends. Under one category, receipts rose significantly to Rs191 billion from Rs118 billion in the previous year, while another category declined from Rs120 billion to Rs87 billion over the same period.

The report also highlights that the government plans to provide relief to salaried individuals and exporters in the new fiscal year. It further notes that direct interaction between tax officials and citizens is expected to be reduced as part of administrative changes. Meanwhile, the FBR has set a new tax collection target of Rs15,264 billion for the upcoming fiscal year.

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