Pakistan Budget for FY 2026-27

Revenue target in FY27 budget: Govt mulls Rs780bn enforcement measures instead of new taxes

  • Taxpayers can expect relief in the next budget as the government avoids new taxes, focusing instead on robust enforcement
May 12, 2026
By Sohail Sarfraz

ISLAMABAD: The government is unlikely to introduce any new taxes in the upcoming budget, as it plans to achieve next year’s revenue target through enforcement and administrative measures estimated at Rs 778-780 billion.

Sources told Business Recorder that the federal budget for the next fiscal year is expected to provide relief to taxpayers, with the authorities relying on alternative revenue-generation measures to offset potential revenue losses.

If the government provides relief to the salaried class, the corporate sector, and taxpayers paying Super Tax, the revenue loss would be bridged through alternate revenue measures. However, no new tax would be imposed in the coming 2026-27 budget.

The revenue measures would be taken only to overcome revenue loss on account of relief measures. But the net impact of taxation measures would be zero in 2026-27.
 
The next fiscal year’s target would be achieved only through enforcement, but no new taxes would be imposed. This means that the 2026-27 would be a tough year for those under-reporting, concealing their income and assets, or operating out of the tax net, sources said.

The Federal Board of Revenue (FBR) will double revenue collection from Rs389 billion in 2025–26 to Rs778 billion in 2026–27 through enforcement measures.

The FBR has collected Rs389 billion through enforcement measures during the current fiscal year. This figure includes over Rs50 billion collected from the tobacco sector through ongoing operations against illicit and smuggled cigarettes.

Keeping in view the potential to generate additional revenue through recovery measures, the Prime Minister has set an ambitious target of Rs778 billion under the enforcement measures head for the next fiscal year.

The FBR has recovered Rs874 billion through enforcement measures during 2024-25. The FBR has achieved the target of Rs389 billion under the enforcement measures head during 2025-26. In 2024-25, FBR was able to recover Rs874 billion through strict enforcement measures against Rs105 billion in 2023-24. This eight-fold increase was driven by specific interventions, structural, and governance changes.
 
Those who make 1 lakh rupees are now dragging there life ...even a Bikia driver carry passport in there pocket to leave country at will .... Elite ordering new Landcruiser and expensive SUVS, stealing wealth ....
 
With Rs430 billion in new budgetary measures and an 18 per cent higher petroleum levy, the International Monetary Fund (IMF) has targeted Pakistan’s federal revenues at Rs17.145 trillion for 2026-27, along with a series of administrative and policy measures committed by the government for the federal and provincial budgets to be passed by the parliament.

In its staff report on completion of third review of $7bn Extended Fund Facility (EFF) and second review of $1.4bn Resilience and Sustainability Facility (RSF), the fund has projected total federal revenues for FY27 at Rs17.144tr — over Rs2.03tr higher than the current fiscal year, up 13.5pc.

Read more: https://www.dawn.com/news/2000619
 
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All of budget is being made by IMF. Not sure why waste money on finance minister. You get cheap loans from IMF and approval seal, and in return hand them your budget.
 
All of budget is being made by IMF. Not sure why waste money on finance minister. You get cheap loans from IMF and approval seal, and in return hand them your budget.
Saving the "system " for the Elite capture.
 

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