The Federal Board of Revenue (FBR) reported a Rs110 billion revenue shortfall for April 2025, collecting Rs850 billion against a target of Rs963 billion.
According to a statement released, despite the miss, the FBR achieved a 30% year-on-year revenue increase, with total collections from July 2024 to April 2025 exceeding Rs8,500 billion, though falling Rs815 billion short of the Rs10,130 billion target for the period.
FBR Chairman Rashid Mahmood Langrial attributed the growth to significant rises in income tax (44%) and sales tax (17%), alongside 31% increases in Federal Excise Duty and Customs Duty.
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Sources said the FBR aims to raise the tax-to-GDP ratio to 11.2% for the 2025–26 fiscal year, up from an expected 10.6% this year.
The current ratio stands at 10.8%. Virtual discussions with the International Monetary Fund (IMF) are taking place to establish next year’s revenue target based on projected GDP. There is an agreement to increase the tax-to-GDP ratio by more than 0.5%.
