Pakistan's top wealthiest avoid paying taxes: FBR Chairman

Federal Board of Revenue (FBR) Chairman Rashid Mahmood Langrial claimed that the country's top five percent wealthiest people avoid paying taxes.

Langrial described taxation as the only window of breathing for the government, and revenue generation could be possible by promoting a tax culture.

He made remarks while addressing a gathering at the Federation of Pakistan Chamber of Commerce and Industries (FPCCI) in Karachi on Wednesday.

“Not even the wealthiest top five percent of the population is filing taxes,” Langrial revealed and endorsed FPCCI's demand for targeting tax evaders instead of those who were already paying taxes.

FPCCI Senior Vice President Saqib Fayyaz Magoon observed that despite FBR’s revenue target being Rs12.9 trillion for this year, which is 40 percent higher than the previous year, the growth of the economy stood at only 2 percent.

However, he also admitted that the tax body missed its 99 percent targeted revenue by the Tajir Dost scheme, as it was implemented without consultation.

Earlier, the FBR acknowledged that they could not achieve the targeted revenue estimated by the International Monetary Fund (IMF), indicating the imposition of strict measures by the government to bridge a gap of below Rs100 billion in the first quarter of fiscal year 2025.

The FBR had collected Rs2.56 trillion for July to September of the ongoing FY25 against the targeted revenue of Rs2.65 trillion with a Rs96 billion shortfall.