Taxpayer Registrations Reach 6.65 Million, But Revenue Collection Falls Short

The number of taxpayers obtaining permanent account numbers (PAN) has reached 6,659,836 as of mid-February, with both individuals and businesses entering the tax system, according to the Ministry of Finance. Of these, 69.3% are personal PANs, 30.2% are commercial, and 0.5% are from taxing agencies.

In the first seven months of this fiscal year, 433,703 taxpayers registered, surpassing last year’s 426,330. Additionally, 341,716 businesses registered for VAT, while 123,132 firms enrolled for excise duty. Despite the increase, revenue collection remains weak, growing by just 10.5% and falling short of government targets.

As of mid-February, income tax collection saw only a 3.2% rise, while excise duty, customs revenue, and VAT grew by 21.1%, 14.3%, and 10.7%, respectively. The government aims to collect Rs 1.419 trillion in revenue this fiscal year but has only managed Rs 736.86 billion—just 51% of the target.

With government spending reaching Rs 868.97 billion, a budget deficit of Rs 132.11 billion has emerged, further straining financial resources.