ISLAMABAD, April 19 — Tax return filing compliance in Pakistan has reached a record high in fiscal year 2024-25, driven by enforcement measures, legal reforms and increased taxpayer awareness, according to official data.
Figures released by the Federal Board of Revenue showed that income tax payments made along with return filings rose to Rs222 billion in FY2024-25, marking the highest level on record.
The steady rise in “payment with returns” over recent years highlights improving documentation of the economy and greater adherence to tax regulations, officials said.
Below is the trend of income tax payments filed with returns over the past five fiscal years:
| Year | Payment with Returns (PKR) |
| 2020-21 | Rs54 billion |
| 2021-22 | Rs78.53 billion |
| 2022-23 | Rs119 billion |
| 2023-24 | Rs161.54 billion |
| 2024-25 | Rs222 billion |
The latest figure represents a year-on-year increase of 37.1% compared with Rs161.54 billion recorded in FY2023-24.
Despite the significant rise in absolute terms, the share of payments made with returns remained broadly unchanged at around 4% of total income tax collection, indicating that overall tax revenues have also expanded in parallel.
Analysts attribute the growth to a combination of stricter compliance measures, digitisation of tax processes and policy changes aimed at widening the tax base. Increased scrutiny of non-filers and incentives for documented transactions have also encouraged taxpayers to file returns and declare income more accurately.
The FBR has in recent years intensified efforts to improve voluntary compliance, including expanding online filing systems and integrating databases to track economic activity.
Economists say sustained growth in return-based payments is a positive signal for fiscal transparency and revenue stability, though challenges remain in broadening the tax net and reducing reliance on indirect taxation.