The IMF has turned down Pakistan’s proposal to abolish GST on contraceptives and sanitary pads mid-year, citing programme restrictions and revenue pressures, and advised that any tax relief be considered in the FY2026–27 budget.
The Federal Board of Revenue has launched the customs budget exercise for FY2026–27, seeking proposals from the business community and field formations on tariff rationalisation, including changes in import duties, ACDs, and regulatory duties.
The Federal Board of Revenue recovered Rs874 billion through enforcement measures in FY 2024-25, driven by sector-specific monitoring, legal settlements, and stronger compliance, while setting a Rs389 billion enforcement target for 2025-26.
The Federal Board of Revenue has put on hold the new property valuation tables for Islamabad following stakeholder concerns over inflated rates. The previous valuation regime will continue to apply until revised tables are notified or January 31, 2026.
The Federal Board of Revenue has initiated Digital Enforcement Stations equipped with advanced ICT, ELV, and SCADA systems to improve tax enforcement, operational transparency, and revenue compliance under the World Bank-backed PRRP.
PSW, in collaboration with FBR and Pakistan Customs, has brought SIDC under the post-payment regime, simplifying trade procedures, improving liquidity for businesses, and accelerating customs clearance.
The Islamabad business community has strongly opposed the FBR’s massive increase in property valuation rates, calling it irrational and anti-business, and warning of a sit-in outside the FBR House on December 22.
The Federal Board of Revenue has allowed residents of AJK and Gilgit-Baltistan to be included in the Active Taxpayers List, enabling them to enjoy filer tax rates on transactions in Pakistan, with safeguards in place to verify eligibility.
Despite clear instructions from the Islamabad High Court, the Federal Board of Revenue has reportedly refused to provide taxpayers access to order sheet entries in tax assessment cases, drawing criticism from legal experts and raising constitutional concerns.
Official data shows more tax filers, yet a large share of individuals and companies report no taxable income, keeping Pakistan’s tax-to-GDP ratio near 10 per cent and highlighting the urgent need for genuine revenue reform.