The FBR revenue shortfall widened to Rs868 billion in the first 11 months of FY2025-26.
The Federal Board of Revenue collected Rs11,227 billion during July-May against a revised target of Rs12,095 billion. The gap increased by Rs184 billion in May 2026 alone.
Top FBR sources said that sluggish economic activity due to the Gulf war and prolonged Eid holidays pushed the shortfall higher. They said the Eid break caused a Rs60 billion gap that may be recovered in June.
The FBR’s provisional May 2026 collection stood at Rs966 billion against a target of Rs1,150 billion. Officials expect the final figure to rise by a few billion rupees after reconciliation.
The tax authority must collect Rs2,752 billion in June 2026 to meet the revised annual target of Rs13,979 billion by June 30, 2026.
Read: FBR Tax Shortfall Hits Rs684bn in July-April
Parliament had approved an FBR tax collection target of Rs14,130 billion in the last budget. The International Monetary Fund later revised the FY2025-26 target down to Rs13,979 billion.
FBR officials expect the board’s full-year collection to approach Rs13 trillion. The report said reaching that level would still leave the authority well below the revised target.
Official data cited in the report showed sales tax at the import stage declined sharply. The drop added pressure on FBR collections as import-linked revenue weakened.
The next budget’s revenue target stands at Rs15,267 billion under IMF requirements. That would require about Rs2,200 billion in additional collection from the expected FY2025-26 level.
