By Eman Alam
ISLAMABAD: The Large Taxpayer Office (LTO) Karachi has collected 30.7% taxes of total revenue, the highest tax collection from a city in the country, in terms of income tax, sales tax, customs duty, and federal excise duty.
With 17.1% and 14.2% tax collections, the LTOs in Lahore and Islamabad secured the second and third spots, respectively, media reported.
The FBR Year Book for 2023–2024 shows that the share of indirect taxes was 51.3% and the share of direct taxes, including withholding taxes, was 48.7%.
Direct taxes totalled Rs4,531 billion, marking a substantial 38.5% increase over the Rs3,271 billion collected in the previous fiscal year (2022–23). Refunds totalling Rs52 billion were given to claimants during the same fiscal year. Income tax, workers’ welfare fund/workers profit participation fund, and capital value tax are all sources of revenue under direct taxation.
Particularly, withholding taxes, advance taxes, payments with returns, and collection on demand are all included in the income tax category.
