Prime Minister Shehbaz Sharif has declared enhancing the national tax system a primary governmental objective to boost revenue and alleviate the financial strain on ordinary citizens.

Presiding over a meeting focused on Federal Board of Revenue (FBR) reforms in Islamabad, he acknowledged the positive impact of the FBR”s digitization on achieving revenue goals. He commended the advancements made in the tax structure due to the FBR”s reforms but stressed the need for timely implementation of a modernized framework.

Sharif called for a thorough strategy with defined deadlines for restructuring the FBR”s digital operations. He emphasized that the reform process should include input from all relevant parties, prioritizing support for businesses, traders, and taxpayers during implementation. The Prime Minister also directed further measures to control the unregulated economy.

The meeting attendees were informed that the FBR”s enforcement measures and other reforms have led to a significant 1.5 percent rise in the tax-to-GDP ratio, a historical achievement. The number of individuals submitting tax returns has also seen a substantial jump, from 4.5 million to 7.2 million. Furthermore, the retail sector contributed an extra 455 billion rupees in income tax as of June 30, 2025, compared to 2024.

The FBR”s automated customs clearance system, the meeting heard, has not only increased tax income but is also projected to reduce clearance times from 52 hours to just 12 hours within the next three months.