The World Bank (WB) has revealed in its report that 90 % of farmers in Pakistan do not pay taxes, and that the share of taxes can increase by one percent by improving income tax collection on agricultural income. The report also states that due to the lack of coordination between the federation and the provinces, tax collection has been affected. According to the report, the share of taxes in the economy can increase by 2 percent by implementing tax reforms. The report further states that 114.1 million people are employed in Pakistan and 8 million people are registered for income tax. However, the system of the Federal Board of Revenue (FBR) for taxes is still suffering from complications.

 
Credit: Independent News Pakistan (INP)