FBR falls Rs100 billion short of March tax collection target

ISLAMABAD: The Federal Board of Revenue (FBR) has faced a significant tax collection shortfall for March 2025, missing its target by more than Rs120 billion.

With collections up to March 27 reaching Rs1.1 trillion, the FBR fell short of the Rs1.22 trillion goal, creating a revenue gap of more than Rs120 billion.

As Pakistan navigates the fiscal year, the FBR’s performance for the first nine months (July to March) has been notably below expectations. The total tax revenue collected during this period amounted to Rs8.44 trillion, against the set target of Rs9.17 trillion. This leaves the country with a deficit of Rs723 billion for the ongoing fiscal year.

The widening gap presents a major challenge for the FBR, which now has the daunting task of meeting its revised annual target of Rs12.33 trillion. This target, adjusted by the International Monetary Fund (IMF) from the earlier projection of Rs12.91 trillion, remains difficult to achieve given the current trend in collections.

To address the shortfall, the government has directed the FBR to keep its field offices open on the last Saturday of March, with hopes of generating an additional Rs17 billion to Rs20 billion in tax revenue before the month closes.

Despite these measures, the revenue gap remains a pressing issue, raising concerns about whether the revised annual target can still be met amidst mounting fiscal pressure.

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