Karachi’s Leading Role in Tax Contributions
Karachi, Pakistan’s southern port city, has once again claimed the title of the highest taxpaying city in the country for the fiscal year 2023-24. According to a recent report by the Federal Board of Revenue (FBR), Karachi’s tax contributions have surpassed those of all other major cities, cementing its position as Pakistan’s top revenue contributor.
The Federal Board of Revenue (FBR) has released its detailed tax collection report for FY 2023-24, showing a geographical breakdown of tax contributions across Pakistan’s major cities. Karachi leads the way, followed by Lahore and Islamabad in terms of overall tax revenue.
Tax Breakdown for Karachi
The Karachi Large Tax Office (LTO) has played a central role in achieving the city’s record-breaking tax collection figure of Rs 2,522 billion. Here is the breakdown of Karachi’s tax collections:
| Tax Type | Amount Collected (Rs) |
|---|---|
| Income Tax | Rs 1,360 billion |
| Federal Excise Duty | Rs 136.3 million |
| Sales Tax | Rs 1,000 billion |
| Total Tax Collected | Rs 2,522 billion |
These figures highlight Karachi’s dominance in Pakistan’s national economy, underscoring its importance as a business, trade, and industrial hub.
Other Top Taxpaying Cities in Pakistan
While Karachi leads, other major cities have also made significant contributions to the national tax pool. Here is the tax collection breakdown for Lahore and Islamabad:
| City | Tax Collected (Rs) |
|---|---|
| Karachi | Rs 2,522 billion |
| Lahore | Rs 1,402 billion |
| Islamabad | Rs 1,164 billion |
Conclusion: Karachi’s Continued Tax Leadership
The FBR report highlights Karachi’s critical role in Pakistan’s economic framework. Furthermore, Karachi continues to lead the nation’s revenue generation efforts. The city makes significant contributions to income tax, federal excise duty, and sales tax. As a result, the city remains a key driver of Pakistan’s economic growth and financial stability.
