Salaried class third-largest taxpayer category in Pakistan in FY24

The salaried class has emerged as the third-largest taxpayer category in Pakistan — contributing PKR 368 billion in taxes during fiscal year 2023-24 (FY24) — according to the Federal Board of Revenue (FBR).

This marks an increase of PKR 103.74 billion compared to the previous year, reflecting a 39.3% rise in tax collection from the salaried class.

Contracts and bank interest and securities led the way in tax payments. Contracts alone generated PKR 496 billion in taxes, an increase of over PKR 106 billion.

Bank interest and securities followed closely, contributing PKR 489 billion, with a 52.8% annual increase in tax collection.

Profit distribution taxes amounted to PKR 145 billion, showing a significant 70% increase. Electricity bills contributed PKR 124 billion, a 30% rise from the previous year.

Property transactions also saw substantial tax contributions, with PKR 104 billion collected from purchases and PKR 95 billion from sales.

Telephone bills generated approximately PKR 100 billion in taxes, a 14.3% increase. The export sector, meanwhile, paid PKR 94 billion in taxes, reflecting a 27.2% increase.

Other sectors contributing to tax revenue included technical fees, cash withdrawals, commissions, and retailer purchases, according to FBR documents.