Latest news with #LargeTaxpayersOffice
Business Recorder
01-07-2025
- Business
- Business Recorder
LTO Karachi posts record Rs3.5trn revenue with 29pc growth
KARACHI: The Large Taxpayers Office (LTO) Karachi has achieved a historic milestone in revenue generation, collecting a record Rs3.5 trillion with 29% growth in the outgoing fiscal year. In an unprecedented single-day collection, LTO Karachi has collected Rs. 184.7 billion, establishing a new record, underscoring the office's operational excellence and enhanced tax collection capabilities. The LTO's exceptional performance continued throughout June 2025, with monthly collections reaching Rs. 449.05 billion - a remarkable 48% increase compared to the same period last year when collections stood at Rs. 302.83 billion. LTO Karachi recovers record-breaking Rs31bn outstanding taxes: FBR The most significant achievement came with LTO Karachi crossing the Rs. 3.256 trillion annual collections for fiscal year 2024-25, marking a robust 29% growth over the previous year's Rs. 2.515 trillion. This milestone represents one of the highest annual collection figures in the LTO's history. Chief Commissioner Zubair Bilal, who spearheaded these record-breaking achievements, played a pivotal role in reaching this monumental landmark for LTO Karachi. The revenue breakdown revealed income tax as the dominant contributor with Rs. 1.818 trillion annually, followed by sales tax collections of Rs. 1.301 trillion, and federal excise duties contributing Rs. 222.2 billion. Officials at LTO Karachi attributed these unprecedented achievements to their fantastic team, emphasising the collaborative effort and dedication that made these historic numbers possible. The synchronised performance across different tax streams reflects the office's enhanced organisational capacity and systematic approach to tax collection. Copyright Business Recorder, 2025
Business Recorder
28-06-2025
- Business
- Business Recorder
LTO Karachi recovers record-breaking Rs31bn outstanding taxes: FBR
ISLAMABAD: In an aggressive and highly effective move, the Large Taxpayers Office (LTO) Karachi has recovered a record-breaking Rs31 billion in outstanding taxes by freezing the bank accounts of major tax defaulters. This significant recovery is part of an intensified drive aimed at enhancing compliance among large taxpayers in Karachi, Pakistan's financial hub. According to officials at the Federal Board of Revenue (FBR), the LTO Karachi, which is responsible for handling high-volume and high-value taxpayers, executed the recovery actions over the past few days. The crackdown targeted various corporate entities, including a prominent State-Owned Enterprise (SOE), as well as private sector players across marine, housing, and energy sectors. Sources revealed that the LTO Karachi resorted to freezing bank accounts after repeated reluctance from companies to fulfill their tax obligations. One notable recovery stemmed from a company's failure to pay Rs14.5 billion in advance tax due on June 15. In accordance with Section 147 of the Income Tax Ordinance, 2001, the LTO Karachi assessed the company's turnover and determined the outstanding amount. After non-compliance, the office directed the company's banks to debit the required sum from its accounts. In another case, LTO Karachi recovered Rs12 billion from a different corporate entity using the same account attachment method. Additional recoveries were made from several other companies, all of which had failed to pay advance taxes based on their turnover, as required under section 147. Section 147 mandates quarterly advance tax payments on the following schedule: September quarter by September 25; December quarter by December 25; March quarter by March 25 and June quarter by June 15. Failure to comply with these deadlines empowers the FBR, through LTO Karachi, to take coercive measures, including account attachments. Moreover, officials noted that recoveries were also made under Section 137(2) of the Income Tax Ordinance. This provision allows the tax authority to serve a notice for any payable amount under an assessment order. Once the notice is served, the amount must be paid within 30 days, officials added. Copyright Business Recorder, 2025
Business Recorder
06-06-2025
- Business
- Business Recorder
LTO Karachi posts record Rs2.807trn collection
KARACHI: The Large Taxpayers Office (LTO) Karachi has displayed a robust performance in revenue collection during the period from July 24 to May 25, achieving a record collection of Rs 2.807 trillion with an impressive 11.6 percent growth. According to the details, the department has made Rs 2.807 trillion in revenue collection as compared to Rs 2.515 trillion in the previous year, depicting an impressive 11.6 percent growth. Income tax emerged as the primary driver of revenue growth, contributing Rs 1.510 trillion in FY2024-25, a substantial increase of 28.1 percent from the previous year's Rs 1.179 trillion. This significant jump in tax collection reflects improved compliance and enhanced tax recovery measures. FBR tax collection: Contribution of LTO Karachi highest Similarly, the sales tax collection also showed positive momentum, reaching Rs 1.185 trillion in FY2024-25, representing a 19.2 percent increase from Rs 994.52 billion collected in FY2023-24. The Federal Excise Duty (FED) has recorded the most dramatic growth among all revenue streams, jumping by 58 percent from Rs 121.85 billion in FY2023-24 to Rs 192.49 billion in FY2024-25. The monthly comparison for May shows continued strong performance, with total revenue collection of Rs 248.63 billion in May 2024-25 compared to Rs 199.43 billion in May 2023-24 – an increase of 24.7 percent. Income tax collection for May grew by 22.1 percent, while sales tax increased by 17.6 percent. The federal excise duty collection in May 2024-25 reached Rs 20.83 billion, significantly higher than Rs 11.06 billion in the corresponding period, representing an 88.3 percent growth. Tax refunds decreased marginally from Rs 82.51 billion in FY2023-24 to Rs 81.17 billion in FY2024-25, indicating efficient refund management, while the monthly refunds for the month of May 2025 showed a 13 percent decline to Rs 4.72 billion from Rs 5.37 billion in the previous year. During the period from July 2024 to May 2025, the income tax constituted 53.8 percent of total LTO revenue collection, followed by sales tax at 42.2 percent and federal excise duty at 6.9 percent. Copyright Business Recorder, 2025
