ISLAMABAD – The salaried class has once again become the single largest contributor to Pakistan’s income tax. According to Federal Board of Revenue (FBR) data, the group paid Rs315 billion in the first seven months of the current fiscal year (July–January), surpassing exporters, retailers, and property buyers and sellers combined.
The combined contribution of three major sectors – exporters, retailers, and property transactions – totaled Rs293 billion during the same period. Exporters paid Rs101 billion, retailers contributed Rs40 billion, and property-related taxes amounted to Rs105 billion. Despite controlling large segments of the economy, these groups paid less than the salaried class, highlighting its disproportionate tax burden.
Officials said this data comes ahead of the upcoming International Monetary Fund (IMF) review mission. There is speculation over whether the newly established Tax Policy Office under the Finance Ministry will push for relief measures for the salaried class in the 2026-27 budget.
FBR figures show exporters paid Rs50 billion in direct taxes and Rs51 billion as advance tax in the July–January period, totaling Rs101 billion. Retailers owning around three million outlets paid Rs15 billion under Section 236G and Rs25 billion under Section 236H. Meanwhile, immovable property taxes reached Rs105 billion under Section 236C.
Property purchase and transfer taxes collected amounted to Rs47 billion in the first seven months, compared to Rs66 billion last year. The FBR has set tax rates based on transaction amounts and Active Taxpayer List (ATL) status, ranging from 1.5% to 5.5% for ATL persons. Non-ATL individuals face higher rates up to 11.5%.
Meanwhile, the salaried class, including public and private sector employees, increased its contribution from Rs284 billion last year to Rs315 billion this year. Analysts say this reflects both compliance and the heavier relative burden borne by salaried taxpayers compared to politically powerful or high-income sectors.
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The data underscores the need for a balanced tax policy that addresses the concerns of the salaried class, which continues to carry a significant share of Pakistan’s income tax revenue.
