Salaried Pakistanis contributed significantly more in income tax than the retail and real estate sectors combined during the first quarter of the fiscal year, according to preliminary Federal Board of Revenue (FBR) data.
Income tax collected from salaried individuals reached Rs. 144 billion between July and September, around Rs. 90 billion higher than the combined Rs. 54 billion collected from the retail and real estate sectors.
Tax receipts from salaries increased by 10.2% compared with the same period last year, showing continued growth in the contribution made by employees through income tax deductions.
In contrast, collections from the property sector declined by 38% during the period. The drop followed reductions in advance tax rates applied to property transactions, which lowered the amount collected from real estate activities.
The latest figures have drawn attention to the changing contribution of different sectors to Pakistan’s tax revenue. Salaried workers continue to contribute through deductions made directly from their earnings, making their tax payments relatively easier for authorities to collect.
The increase in salary-based tax collections came despite a budget package that was presented as providing around Rs. 52 billion in tax relief to employees.
The preliminary figures provide an early picture of tax collection trends for the new fiscal year. The final numbers may change as the FBR completes reconciliation and updates its revenue data.
The data also highlights the difference between tax collection from formal salaried income and sectors such as retail and real estate, where collection levels can vary significantly depending on transactions and policy changes.
