The Federal Board of Revenue (FBR) started fiscal year 2025–26 on a strong note by exceeding its July tax collection goal. Net provisional collections reached Rs 754.4 billion—Rs 6.4 billion above the assigned target—reflecting effective enforcement, digital monitoring, and improved taxpayer compliance.
Gross collection for the month stood at Rs 835.5 billion, while refunds amounted to Rs 81.1 billion. A breakdown of the revenue shows income tax collections at Rs 323.6 billion, slightly below the target but higher compared to last year. Sales tax revenue hit Rs 352.7 billion, surpassing its target and marking an 18% year-on-year increase. Federal Excise Duty brought in Rs 46.2 billion, while customs duty reached Rs 113 billion, exceeding expectations.
Analysts highlight that indirect taxes such as sales tax and customs duty drove the overall growth, while income and excise collections lagged slightly. Despite this strong start, maintaining momentum will be crucial to achieve the ambitious annual target of Rs 14.13 trillion set under the IMF-supported budget framework.
The FBR attributed the positive performance to enhanced enforcement measures, a broader tax base, and the use of digital compliance tools.
FBR July 2025 tax collection, exceeded revenue target, Pakistan fiscal year revenue
