Islamabad: The Federal Board of Revenue (FBR) has reported a remarkable achievement in the fiscal year 2022-23 with a staggering 340.5% surge in immovable property tax collections.
The FBR’s reliance on withholding tax (WHT) has marked an annual upward trend, reaching a monumental PKR of 1.87 trillion, higher than the preceding year (PKR 1,417.5 billion).
The standout performer in this unprecedented growth is the withholding tax on the sale of immovable property, witnessing an extraordinary 340.5% increase in collection. This remarkable boost in revenue is closely followed by
· Profits on debt/bank interest & securities (106.7%)
· Salary (40.1%)
· Electricity (38%)
The WHT on contract payments emerges as the highest contributor, constituting a 21% share of the overall collections. Moreover, the withholding tax collection from the salaried class exhibited growth, reaching PKR 264.335 billion in the fiscal year 2022-23. This shows a significant increase from PKR 188.736 billion in the corresponding period of the preceding fiscal year, marking a growth of 40.1%.
The report also highlights that the top ten withholding tax contributors collectively accounted for 94% of the total WHT collection during FY 2022-23, indicating a slight uptick from the 92.5% recorded in the previous fiscal year.
This substantial growth in property tax collections reflects a positive economic trajectory, showcasing the resilience and effectiveness of the FBR’s taxation strategies. The record-breaking figures underscore a thriving fiscal environment, providing a promising outlook for Pakistan’s financial landscape. For the latest Real Estate News and Blogs, visit Realtorspk blogs.
