Karachi, February 18, 2026 – The Large Taxpayers Unit (LTO) Karachi has achieved a historic milestone by collecting around Rs2 trillion in taxes during the first seven months (July to January) of the fiscal year 2025-26, official sources confirmed on Wednesday.
As the largest revenue-collecting arm of the Federal Board of Revenue (FBR), LTO Karachi recorded 12% growth compared to Rs1.78 trillion collected in the corresponding period of the previous fiscal year, reflecting improved compliance, enhanced enforcement, and stronger economic activity. During the same period, the tax office also released refunds amounting to Rs82 billion, providing liquidity relief to businesses and exporters.
A major contribution came from direct taxes, which surged 16% to Rs1.11 trillion, up from Rs960 billion in the same period last year. Sales tax collection also showed positive momentum, registering 4% growth to Rs735 billion, despite the issuance of Rs46 billion in sales tax refunds, compared with Rs36 billion last year. Meanwhile, Federal Excise Duty (FED) collection rose sharply by 23% to Rs138 billion, underscoring broad-based revenue gains.
In January 2026 alone, LTO Karachi delivered a remarkable 33% year-on-year increase, collecting Rs283 billion against Rs213 billion in January 2025. Officials attributed this exceptional performance primarily to super tax collection, which boosted income tax receipts by 74% YoY for the month.
The office collected around Rs54 billion in super tax within just two days during the final week of January 2026, following a landmark judgment by the Federal Constitutional Court that upheld the legality of the super tax. Authorities believe this verdict significantly strengthened revenue enforcement and restored taxpayer confidence.
The strong performance highlights LTO Karachi’s pivotal role in achieving Pakistan’s fiscal targets and strengthening national revenue mobilization.