The Federal Board of Revenue (FBR) collected Rs. 4.089 trillion in net taxes during the first four months of fiscal year 2026-27, falling short of its target by Rs. 94.2 billion.

The tax authority had set a collection target of Rs. 4.184 trillion for July to October 2026.

Despite missing the target, the FBR recorded 6.6 percent year-on-year growth in net revenue, collecting Rs. 254 billion more than the Rs. 3.834 trillion generated during the corresponding period last fiscal year.

The authority’s gross tax collection reached Rs. 4.355 trillion before refunds. However, it returned Rs. 265 billion to taxpayers, bringing net revenue to Rs. 4.089 trillion.

Domestic Taxes Generate Rs. 3.66 Trillion

Domestic taxes accounted for the bulk of FBR’s revenue, with net collections reaching Rs. 3.662 trillion during the first four months of FY27.

Direct taxes contributed Rs. 1.86 trillion, including Rs. 1.667 trillion in domestic income tax and Rs. 162 billion in income tax collected at the import stage.

Sales tax collection stood at Rs. 1.524 trillion. This included Rs. 1 trillion collected through general sales tax on imports and Rs. 523 billion from domestic transactions.

Federal Excise Duty (FED) generated Rs. 277 billion, while customs duty contributed another Rs. 427 billion.

FBR Misses October Target by Rs. 127 Billion

In October 2026, the FBR collected Rs. 1.003 trillion against its monthly target of Rs. 1.131 trillion, leaving a shortfall of Rs. 127.389 billion.

However, monthly revenue increased by 5.6 percent compared with Rs. 950 billion collected in October 2025.

Domestic taxes contributed Rs. 888 billion to October’s net revenue.

Income tax generated Rs. 371 billion, while general sales tax collection included Rs. 251 billion from imports and Rs. 135 billion from domestic transactions. Customs duty contributed Rs. 115 billion.

The FBR’s 6.6 percent revenue growth during the first four months highlights the challenge facing the tax authority as it attempts to meet its annual collection target.