The Federal Board of Revenue (FBR) has assured the International Monetary Fund (IMF) that Pakistan will meet its first-quarter tax collection target of Rs3.053 trillion despite falling short of its monthly target for August. The assurance was given during ongoing discussions with the visiting IMF mission on Pakistan’s fiscal and revenue performance.
FBR officials briefed the IMF delegation on the country’s revenue position and explained the reasons behind the August shortfall. According to the briefing, the tax authority met its July target but collected around Rs28 billion less than the target in August.
September collection target
The FBR expects to collect approximately Rs1.330 trillion in September against its monthly target of Rs1.343 trillion.
If the projected September collection is achieved, the FBR expects total tax receipts for July through September to reach the Rs3.053 trillion target agreed with the IMF by September 30.
The first-quarter performance is being closely watched as the IMF reviews Pakistan’s progress under its ongoing programme. The current IMF mission is conducting the fourth review of the country’s $7 billion Extended Fund Facility, with revenue mobilisation among the key areas under discussion.
More tax returns filed
The IMF also sought an update on income tax returns filed for Tax Year 2026.
The FBR informed the mission that approximately 4.7 million tax returns had been received, compared with around 3.2 million during the same period last year.
This represents an increase of roughly 1.5 million filings, indicating a larger number of returns being submitted compared with the corresponding period of the previous year.
The statutory deadline for filing returns is September 30, 2026. The FBR is expected to assess the filing position before determining whether any extension is required. Any extension would have to be formally announced by the tax authority.
Tax professionals and business groups have already called for an extension, citing technical problems and slow performance of the FBR’s IRIS portal during the final days before the deadline.
Digital asset declarations for civil servants
The IMF discussions also covered the digitisation of asset declarations for federal government employees.
The Establishment Division and tax authorities briefed the IMF on the implementation of the asset declaration framework under Section 15-A of the Civil Servants Act, 1973.
Under the framework, federal civil servants in grades 17 to 22 are required to submit their asset declarations electronically. The deadline for digital submission has been set for October 30, 2026.
The government has also indicated that selected non-sensitive information from these declarations will be made available to the public. Officials have cited security concerns in limiting the disclosure of complete asset details.
IMF reviews revenue reforms
The asset declaration mechanism forms part of the broader structural reforms being discussed with the IMF.
The current review is examining Pakistan’s fiscal performance, revenue mobilisation, structural reforms and implementation of programme commitments. The IMF mission is also reviewing developments affecting the country’s economic and fiscal position.
Revenue collection remains a central part of Pakistan’s commitments under the IMF programme. Earlier this month, officials said FBR revenue collection for the first two months of the fiscal year was broadly in line with the government’s projections.
At the same time, the FBR continues to pursue digitalisation measures aimed at improving tax administration. The authority recently established a National Faceless Centre in Islamabad to handle tax audits and assessments through centralised, faceless processes.
Focus remains on meeting fiscal commitments
The FBR’s assurance comes as Pakistan seeks to demonstrate progress on its revenue commitments during the latest IMF review.
Although the tax authority recorded a shortfall against its August monthly target, officials expect September collections to bring the first-quarter total to the agreed Rs3.053 trillion mark.
The final September collection figures will determine whether the FBR reaches the quarterly target by the September 30 deadline.
Meanwhile, the IMF mission is continuing discussions with Pakistani authorities on tax collection, fiscal reforms, civil servant asset declarations and other programme commitments.
