Islamabad – August 5, 2026: The Federal Board of Revenue (FBR) has started the new fiscal year on a positive note by collecting Rs820 billion in July 2026, exceeding its monthly revenue target of Rs780 billion by Rs40 billion.
According to official figures, the impressive performance was mainly supported by strong growth in Sales Tax, Federal Excise Duty (FED), and Customs Duty collections.
Sales Tax Led Revenue Growth
Sales Tax remained the largest contributor to FBR’s revenue during July, recording an 18% year-on-year increase. Improved economic activity, better compliance, and stronger enforcement measures helped boost indirect tax collections.
FED and Customs Collections Also Improved
The FBR also witnessed higher-than-expected collections from Federal Excise Duty (FED) and Customs Duty, contributing significantly to the overall revenue surplus. Increased imports of taxable goods and enhanced customs monitoring played an important role in achieving the target.
Income Tax Collection Misses Target
Despite the overall positive performance, Income Tax collections remained below the monthly target. Officials attributed the shortfall to seasonal factors and expected adjustments during the coming months of the fiscal year.
Positive Start for FY 2026-27
Crossing the July revenue target is considered an encouraging beginning for the FBR as it works toward achieving its ambitious annual tax collection goal. Maintaining this momentum will be essential to support government finances, reduce the fiscal deficit, and meet commitments under ongoing economic reforms.
Source: Federal Board of Revenue (FBR) data.