The Federal Board of Revenue (FBR) performed a city-by-city tax study of the Tax Directory 2018, which contains information on taxpayers who filed income tax returns and the amount of tax submitted in each city for the fiscal year that concluded on June 30th, 2018.
The FBR report titled “Tax Collection from Major Cities” showed that for the tax year 2018, income tax was collected from return filers in Karachi for Rs. 572,594,396,386 and from Islamabad for Rs. 204,148,673,059 Following them were Rs. 16,264,148,003 from Faisalabad, Rs. 35,170,187,615 from Rawalpindi, and Rs. 200,717,435,894 from Lahore.
According to the city-level data for Karachi, the FBR had classified the coastal metropolis into five administrative regions.
According to the breakdown of the money collected from the commercial hub, Karachi was responsible for paying Rs. 209,107,138,348, Karachi Central, Rs. 9,059,371,508, Karachi East, Rs. 34,092,500,901, Karachi South, Rs. 114,229,955,253, and Karachi West, Rs. 28,891,487,111.
According to the breakdown of revenue from the Punjabi province’s capital, Lahore, during this time, collected Rs. 180,580,693,868, Lahore Cantt, Rs. 5,270,469,564, and Lahore City, Rs. 14,866,272,462.
Malir received Rs. 29,374,153,827 in taxes from people who filed income tax returns and were subject to that region’s jurisdiction.
Sahiwal contributed Rs. 1,770,291,678 and Multan City Rs. 12,772,888,239 in taxes from local return filers. During the 2018 tax year, Gujranwala city collected Rs. 7,926,264,130 in income taxes. From Sialkot’s income tax return filers, the FBR received Rs. 4,499,262,113.
The FBR collected Rs. 2,481,243,943 in tax from Bahawalpur, and Rs. 1,610,871,493 from Abbottabad. Dera Ghazi Khan contributed Rs. 6,357,384,959 while Rs. 1,640,625,913 was from Kohat.
Taxes were collected from North Waziristan Agency for Rs. 1,119,980 and Okara for Rs. 1,081,818,348. Peshawar made a contribution of Rs. 13,643,621,461. Quetta brought in Rs. 10,052,581,291 in tax revenue, while Sargodha brought in Rs. 2,210,683,221.
2,611,985,052 rupees came from Sheikhupur, and 3,574,079,338 rupees in income tax were collected in Sukkur. From people who filed income tax returns, the city of Haripur received Rs. 1,706,260,030.
A total of Rs. 4,065,622,573 in income tax was collected from Hyderabad’s return-filers. According to the data from FBR, Hyderabad donated Rs. 2,502,654,699, while Hyderabad City contributed Rs. 1,562,967,874.
During the period, Taxila return filers made a contribution of Rs. 1,251,185,013 and Thatta return filers made a deposit of Rs. 1,014,821,378.
Gujrat received Rs. 1,697,060,864jar in income tax payments, Jaranwala Rs. 1,422,698,632, Loralai Rs. 1,793,711,098, Mardan Rs. 1,336,230,684, Rahim Yar Khan Rs. 1,991,664,768, Zhob Rs. 595,684,703, DI Khan Rs. 773,559,460, Jhang Rs. 920,100,309, and Mianwal
According to the FBR’s research of city-specific income tax collections, Karachi accounts for a significant 41.39% of the FBR’s overall income tax collections.
Sindh continued to contribute the most to the total income tax collection, according to data broken down by province. It contributed 44.91% of the total annual income tax that was collected. Federal Capital Territory (15%), Khyber-Pakhtunkhwa (3.44%), Balochistan (1.67%), and Gilgit-Baltistan (0.12%) all contributed to the total income tax collection, with Punjab accounting for nearly 34% of it.
According to data from national level markets, Saddar Karachi contributes 36.7% of all income tax receipts, followed by Blue Area Islamabad (19.01%), Multan Road Lahore (5.19%), Market Estate Avenue Karachi (2.95%), Saddar Multan (2.86%), Saddar Lahore (2.53%), Karkhano Market Peshawar (2.51%), Raiwind Bazaar Lahore (1.99%), and Ferozepur Road Lahore .
The Forum Karachi has a share of 1.57%, Saddar Peshawar has a share of 1.57%, Jodia Bazaar has a share of 1.46%, Main Boulevard Gulberg has a share of 1.42%, Saddar Rawalpindi has a share of 1.08%, and Wapda Town has a part of 0.78% in the total income tax collection on an annual basis.
Companies contribute 55.84% of the total income tax collected, according to the breakdown of taxpayer size by type.
The non-salaried class makes up 21.01% of all income taxes collected. The Association of Persons contributes 8.49% of the total income tax paid annually, whereas the salaried class contributes 14.66% of the total income tax collected.
The information on filers by classification showed that the salaried class had the largest percentage of filers (42.12%) who filed income tax returns. A total of 54.06% of all filers nationwide are in the non-salaried class, which includes this group.
Out of the total community of filers in Pakistan, 2.26% were classified as Association of Persons filers. The aforementioned data shows that while businesses make up only 1.56% of all tax payers, they contributed 55.84% of the total income tax collected.
