Connect with us

Business

Tax collection falls short of plan; FBR revenue collection shortfall increases to Rs868 billion

Published

on

The Federal Board of Revenue (FBR) has registered a revenue shortfall of Rs868 billion in the first 11 months of the fiscal year 2025-26.

The tax office collected Rs11.227 trillion for July to May against a revised target of Rs12.095 trillion leaving a huge gap.

The expanding difference is attributed to two key issues, according to the reports: slower economic activity due to the ongoing Gulf conflict and the impact of the longer Eid festivities. Revenue shortfall reached Rs 184 billion in only May alone.

The FBR has collected Rs966 billion in May on a provisional basis against the monthly target of Rs1.15 trillion. Officials are still hopeful that once changes are made, the final tally for the month could be a little better.

To fulfil the revised yearly income target of Rs13.979 trillion by June 30, the FBR will have to collect almost Rs2.752 trillion in June – a daunting undertaking considering the current trend.

The tax collection target was originally set at Rs14.13 trillion by the Parliament but was then cut down to Rs13.979 trillion after an agreement with the International Monetary Fund (IMF).

As the fiscal year comes to a finish, the FBR appears to be on track for a total shortfall around Rs1 trillion. Crossing the Rs13 trillion collection mark would be a significant achievement in the current economic scenario, officials feel.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

For three days, Pakistan lowers the price of petrol and diesel.

Published

on

By

For a three-day period starting on August 1, the government has announced a slight decrease in the cost of petroleum products, including gasoline and high-speed diesel (HSD).

The Petroleum Division said that the price of high-speed diesel has been lowered by Rs0.66 per litre, resulting in a new retail price of Rs392.38 per litre.

Additionally, the price of gasoline has been lowered by Rs0.12 per litre, to Rs336.03 per litre.

According to the letter, the updated pricing will go into effect between August 1 and August 3.

According to the administration, the little cut was taken after accounting for both domestic economic and budgetary factors as well as global oil costs.

In light of persistent economic pressures and swings in the world’s crude oil markets, the most recent adjustment provides customers with little respite.

The most recent update comes after the government regularly reviews fuel costs, which are decided by the currency rate, domestic tax laws, and global market trends.

Continue Reading

Business

FBR surpasses its July revenue goal by Rs40 billion.

Published

on

By

In July 2026, the Federal Board of Revenue (FBR) collected Rs820 billion in net revenue, exceeding the monthly target by Rs40 billion.

The July tax collection target was set at Rs780 billion, but net receipts came in at Rs820 billion, according to FBR documents.

According to the papers, gross tax collections for the month totaled Rs918 billion. Net receipts were Rs820 billion after Rs98 billion of this sum was reimbursed to taxpayers under different refund categories.

Gross collections under the income tax head was Rs343 billion. Net income tax revenues fell short of the objective of Rs323 billion, coming in at Rs308 billion after the payment of Rs35 billion in refunds.

In July, sales tax collections came to Rs413 billion, while sales tax refunds were Rs53 billion.

The Federal Excise Duty (FED) collected Rs48 billion, compared to the objective of Rs47 billion, according to the FBR.

In July 2026, customs duty receipts totaled Rs115 billion, surpassing the designated objective of Rs105 billion by Rs10 billion.

Continue Reading

Business

Foreign investors return to PSX after almost two years

Published

on

By

Foreign investors became net purchasers at the Pakistan Stock Exchange (PSX) for the first time in almost two years, indicating restored confidence in the country’s capital market at the beginning of the current fiscal year.

According to official data, foreign investors invested $34.4 million in the PSX in July 2026, a significant reversal from June 2026 when they sold $180 million worth of shares and pulled money out of the market.

The data showed that foreign investors were net buyers for the first time in nearly 23 months, with banking and exploration companies receiving the greatest investment in the month.

Foreign investors made investments in the banking sector to the tune of $13.8 million during July, while investments in exploration businesses amounted to $6.7 million.

However, the data also revealed that international investors preferred to dispose of cement stocks over the same period.

Continue Reading

Trending