KARACHI: The Large Taxpayers Office (LTO) Karachi achieved a groundbreaking milestone, collecting a record Rs1.11 trillion in the first five months of the fiscal year 2024-25 (July–November). This marks a remarkable 20% growth compared to the Rs 924 billion collected during the same period in the previous fiscal year.
Gross tax collection for LTO Karachi during this period reached Rs 1.16 trillion, with refunds amounting to Rs 47 billion issued to taxpayers. As the largest revenue-collecting arm of the Federal Board of Revenue (FBR), LTO Karachi maintained robust growth across all tax categories under its jurisdiction, further strengthening its position as a key driver of national revenue.
Direct tax collection remained the cornerstone of LTO Karachi’s performance, with Rs542 billion collected during the July–November period, a 20% increase from Rs451 billion in the same months of the previous fiscal year. Refunds issued under direct taxes also rose significantly to Rs18.53 billion, compared to Rs3.67 billion in the corresponding period last year.
The office anticipates continued growth in direct tax revenues, bolstered by the exceptional performance of the corporate sector in the current fiscal year.
Under indirect taxes, sales tax collections recorded an 18% growth, amounting to Rs494 billion, up from Rs420 billion in the previous fiscal year. Sales tax on domestic transactions posted a striking 30% growth, reaching Rs203 billion. However, challenges persisted in collecting sales tax at the import stage due to a reduced import bill. Despite this, sales tax at the import stage rose by 6%, with collections totaling Rs314 billion compared to Rs 296 billion in the corresponding period last year.
