Islamabad, August 10, 2025 – Sindh has emerged as the top-performing province in Pakistan for the collection of sales tax on services during the fiscal year 2024-25, surpassing all other provinces in both revenue and growth rate.
According to the federal finance ministry, Sindh recorded an impressive 27.50% growth, collecting Rs284 billion in FY25 compared to Rs222.75 billion in the previous fiscal year. This outstanding performance has solidified Sindh’s dominant position in the national sales tax on services landscape.
Overall, the four provinces collectively generated Rs612.42 billion in sales tax on services during FY25, marking a 21.36% increase from Rs504.62 billion in FY24. Sindh’s share in the total collection stood at a remarkable 46.37%, up from 44.14% the year before, further highlighting its leadership role.
Punjab followed with Rs264 billion, posting 17.63% growth from Rs224.44 billion in FY24. Khyber Pakhtunkhwa collected Rs41 billion, showing a 14% rise from Rs36 billion, while Balochistan saw a modest 7% increase to Rs23 billion from Rs21.52 billion.
Under the Constitution of Pakistan, provinces have the authority to collect sales tax on services, whereas sales tax on goods remains the responsibility of the federal government. Sindh’s strong performance in FY25 underscores its robust service sector and efficient tax administration, setting a benchmark for other provinces.