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Experts urge FBR to broaden tax base to meet FY26 target – Business & Finance

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Home » Experts urge FBR to broaden tax base to meet FY26 target – Business & Finance
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Experts urge FBR to broaden tax base to meet FY26 target – Business & Finance

Riley Moore | Debt AgentBy Riley Moore | Debt AgentJune 19, 2025No Comments2 Mins Read
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ISLAMABAD: Experts recommended that Federal Board of Revenue (FBR) needs to increase the tax base to achieve revenue target of Rs14.1 trillion in 2025-26 without burdening existing taxpayers.

Pakistan’s numbers tell a compelling story with only 5.9 million tax filers out of 71 million workforce (8.4 percent, tax filer to workforce ratio), while banks hold 177 million accounts, with 137 million unique account holders (60% of adult population), and Rs32.7 trillion in deposits (as of May 2025)—all with complete KYC data with the Banks. These

figures were shared by former minister for Interior and Commerce GoharEjaz on X formerly known Twitter.

He sated FBR needs help to find non-tax filers. This is where they need to look: total tax filers in Pakistan 5.9 million (2024-25), individuals (5.8 million), Business Partnerships (AOPs) ( 104,269) and companies (87,900).

Ejaz further stated that FBR doesn’t need to tax existing filers more—it needs to expand the tax base. With withholding taxes at Rs. 1.59 trillion and voluntary payments at Rs. 1.12 trillion (first half of 2024-25), the compliant are already contributing. 137 million unique bank account holders vs 5.9 million tax filers is a stark low number, he added.

FBR must target non-filers—going after existing taxpayers will not work as they’re already overburdened. Banks have comprehensive KYC data on account holders with substantial deposits. Non-filers’ complete account details, transaction histories, and financial profiles are readily available.

Smart governance means using available data intelligently. The path to Pakistan’s revenue targets lies not in over-burdening the 5.9 million compliant taxpayers, but in identifying and bringing the remaining 131 million bank account holders with significant financial footprints into the formal tax system, Ejaz added.

Copyright Business Recorder, 2025



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