ISLAMABAD: The Federal Board of Revenue (FBR) has reported recoveries of Rs874 billion through enforcement measures in the fiscal year 2024-25, a sharp increase from Rs105 billion recorded in the previous year.
Enforcement remains a central pillar of the FBR’s tax collection strategy, with the authority setting an ambitious recovery target of Rs389 billion under this head for the 2025-26 fiscal year.
According to an official FBR report, the nearly eight-fold rise in recoveries was achieved through targeted interventions and structural reforms, including improvements in governance and compliance mechanisms.
Significant recoveries were made from the sugar and cement sectors through real-time production monitoring. The FBR recovered Rs25 billion from the sugar sector during July–December FY 2024-25 and Rs12.8 billion from the cement sector during July–June 2024-25.
The tax authority also collected Rs255 billion through legal settlements by accelerating dispute resolution processes. In addition, focused efforts to encourage voluntary compliance increased admitted tax liability by Rs58 billion to Rs218 billion in 2024-25, compared with Rs160 billion in the previous year.
The Large Taxpayers Office (LTO) Karachi posted a record recovery of Rs31 billion in outstanding taxes.
Meanwhile, enforcement in the retail sector was stepped up, with more than 40,000 Point of Sale (POS) systems now installed, covering around 38 per cent of Tier-1 retailers nationwide.
