The number of income tax filers in Pakistan has risen sharply, with nearly 5.77 million returns submitted by September 30, according to Federal Board of Revenue (FBR) data.

FBR received 5,767,384 returns by the end of September, compared with 3,980,692 during the same period last year. This represents an increase of nearly 1.79 million returns, or around 45 percent.

The rise has been led mainly by non-salaried taxpayers, including traders, professionals and self-employed individuals.

Non-salaried filers surge

Returns from non-salaried individuals increased 60 percent to 3.81 million from 2.38 million a year earlier.

The group contributed around four-fifths of the total increase in returns.

Salaried individuals filed around 1.9 million returns, showing growth of 22 percent. Returns from associations of persons also increased 33 percent to 53,756.

The number of returns has grown rapidly in recent years. It stood at 1.86 million in September 2022 and 1.92 million in 2023 before rising to 3.72 million in 2024, 3.98 million in 2025 and 5.77 million this year.

More returns show taxable income

The increase is not limited to the total number of returns.

Returns showing income above the taxable threshold rose 37 percent to nearly 2.5 million from 1.82 million last year.

The number of returns showing tax payments increased 38 percent to 3.35 million.

Among non-salaried taxpayers, payment filers rose around 50 percent to 1.75 million.

Tax paid with individual returns increased 11 percent to Rs34.5 billion, while payments from associations of persons rose 16 percent to Rs3.7 billion.

Company returns decline

Company filings have not followed the same trend.

The number of company returns submitted by September 30 fell to 7,953 from 11,206 a year earlier.

Tax paid with company returns also declined to Rs39.1 billion from Rs49 billion.

Total tax paid with returns stood at Rs77.3 billion, around 7 percent below the Rs83.3 billion recorded last year.

FBR officials said many companies were waiting for an extension in the filing deadline. The deadline has now been extended, allowing additional returns and payments to be submitted.

FBR has also increased the use of information from banks, property records, vehicle registrations and withholding data to identify potential taxpayers who have not filed returns.

Around 39 percent of returns filed this year are nil returns, broadly unchanged from last year.

The number of returns is expected to increase further after the extension of the filing deadline.