Business

No relief for common man despite rise in tax revenue: Gohar Ejaz

Former caretaker interior minister Gohar Ejaz on Wednesday said that despite a rise in tax revenue, no relief is being provided to the common man.

In his message on the social media website “X” the veteran business tycoon said that tax collection from businesses increased from Rs2.28 trillion in 2022 to Rs5.26 trillion in 2025.

Similarly, tax collected from salaried employees increased from Rs188 billion in 2022 to Rs575 billion in 2025.

Overall, the Federal Board of Revenue (FBR) collected Rs. 6.1 trillion in 2022, which has grown to Rs11.7 trillion in 2025, nearly doubling in just three years. The target for the current fiscal year stands at Rs14.13 trillion.

Contrary to the commonly cited figure of a 10% tax-to-GDP ratio last year, the actual ratio was 12.2 percent when including the Petroleum Development Levy (PDL) and provincial taxes all of which are ultimately paid by the people of Pakistan.

In other words, we collected 12.2 percent of GDP in total taxes from the people of Pakistan. For this year, the tax-to-GDP target has been set at 13.1 percent.

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