Government sets FBR tax target at Rs15.26tr, up 8% in FY27 budget

The federal government has assigned a tax collection target of approximately Rs15.26 trillion to the Federal Board of Revenue (FBR) for the fiscal year 2026-27, while the government has projected non-tax revenues of more than Rs5.34 trillion, according to budget documents presented in the National Assembly on Friday.

Finance Minister Muhammad Aurangzeb unveiled the federal budget amid protests by opposition lawmakers in the lower house.

The new tax target is over 8% higher than the revised collection estimate of Rs14.13 trillion for the outgoing fiscal year.

Under the budget framework, Rs8,848 billion has been earmarked for transfer to the provinces from the federal divisible pool.

The government expects non-tax revenues to exceed Rs5.34 trillion during FY27, supported by profits from the State Bank of Pakistan, petroleum levy collections and earnings from state-owned enterprises.

Budget documents show that the government plans to rely on greater documentation of the economy, wider use of digital invoicing systems and stricter monitoring of the retail and wholesale sectors to help achieve the revenue target.

The budget was presented shortly after Prime Minister Shehbaz Sharif approved the proposals at a special meeting of the federal cabinet held at Parliament House.

At the beginning of the National Assembly session, Speaker Ayaz Sadiq invited the finance minister to present the budget despite protests and slogan-chanting by opposition lawmakers.

Opposition members carried placards and posters during the proceedings, while treasury lawmakers welcomed Prime Minister Shehbaz Sharif by thumping desks.