PM Shehbaz urges FBR to expand net income, increase tax-to-GDP ratio to 11%

Prime Minister Shehbaz Sharif has directed the Federal Board of Revenue (FBR) to widen the tax net and intensify efforts to increase Pakistan’s tax-to-GDP ratio to 11 percent to meet tax revenue targets.

He gave these instructions while chairing a weekly high-level meeting on FBR affairs, during which officials briefed him on revenue targets, digitalization initiatives and measures to combat tax evasion.

The Prime Minister also called for ensuring effective tax enforcement across all government sectors and ensuring timely release of sales tax refunds.

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Prime Minister Shehbaz praised the FBR for reducing customs clearance times through the use of modern technology and artificial intelligence, and asked the department to further speed up customs clearance for imports and exports.

He also commended the FBR and law enforcement agencies for their actions against factories involved in illegal cigarette production, urging provincial governments to maintain full cooperation.

The officials informed the meeting that focal points of FBR and excise and taxation departments have been deployed across the country to bring the entire tobacco sector into the tax net, adding that a notable quantity of illegal cigarettes had been seized in recent operations.

The meeting also reviewed the status of pending tax cases before various courts and institutions.

Furthermore, the Prime Minister met the Chairman of WAPDA, who briefed him on the development projects under the supervision of the authority. The discussion covered progress in improving water storage capacity and other administrative and technical issues, with Sharif briefed on ongoing efforts to protect and increase the country’s water resources.