FBR fails to meet FY 2024-25 tax collection target

ISLAMABAD: The Federal Bureau of Revenue (FBR) has failed to achieve its tax collection target for the fiscal year 2024-25, ARY News reported, citing sources.

The fiscal year ending on June 30, resulted in a historic revenue shortfall for the FBR, the sources privy to the development said. They added that the FBR’s original target for the year was Rs12,977 billion, which was revised downward twice but still remained unmet.

In the first revision, the concerned authorities adjusted the target to Rs12,332 billion, yet fell short, recording a shortfall of Rs1,470 billion against the original target and Rs832 billion against the revised figure.

A second revision set the target at Rs11,980 billion, but FBR failed to reach the mark yet again. As of the close of FBR offices on Sunday, the agency had collected Rs11,280 billion in the fiscal year.

With Monday being the final day, FBR needs to gather an additional Rs620 billion to meet any target.

The sources indicated that FBR is likely to collect only around Rs11,500 billion for the year, falling short of the second revised target by Rs480 billion.

Earlier this month, Prime Minister Shehbaz Sharif directed authorities to engage with other globally recognised audit firms to ensure reliability and for third-party validation of FBR reforms

Shehbaz Sharif emphasised that officials should review ongoing development and reforms within the Federal Board of Revenue.

The Prime Minister repeated the government’s commitment to institutional transparency and economic stability, emphasising the swift development of reforms across all sectors.

PM Shehbaz showed satisfaction with the faceless customs assessment system, which has significantly improved revenue collection and reduced clearance times.