Karachi, October 13, 2025 – The Federal Board of Revenue (FBR) has reported a remarkable 138% surge in tax collection from internet services during the fiscal year 2024–25, reflecting Pakistan’s accelerating shift toward a digital economy.
According to official data, the FBR collected Rs9.26 billion in withholding income tax from internet bill payments, a significant increase from Rs3.89 billion in the previous fiscal year. This growth highlights how online activity and connectivity are transforming both communication and commerce across the nation.
Under Section 236(1)(d) of the Income Tax Ordinance, 2001, the FBR is authorized to collect advance tax on telephone and internet usage. The tax applies to subscribers’ monthly bills, prepaid cards, and online purchases through digital platforms.
Officials credit the record collection to the expanding digital landscape, rising smartphone usage, and broader access to high-speed connectivity. With millions of Pakistanis relying on internet services for work, study, and entertainment, tax inflows have mirrored this upward trajectory.
This development not only reflects the growing digital penetration but also signals an evolving taxation model that adapts to online transactions and data-driven services. As e-commerce, remote work, and content creation continue to thrive, authorities are expected to further refine internet-related taxation policies to balance revenue generation with digital inclusion.
Pakistan’s robust internet adoption is clearly fueling economic transformation — and now, it’s boosting national tax revenues like never before.