FY25 annual report: FBR admits excessive tax burden on salary earners
- The tax authorities endorse the harsh measure against the salaried individuals was taken to generate additional revenue from the salaried class during 2024-25 onwards.
ISLAMABAD: The Federal Board of Revenue (FBR) has officially admitted that the government had considerably increased income tax rates on salaries for high-income earners to raise the tax burden up to 35 percent on high-salaried individuals .
In the FBR’s annual report for 2024-25 issued on Saturday, the tax authorities have endorsed that the harsh measure against the salaried individuals was taken to generate additional revenue from the salaried class during 2024-25 onwards.
‘Mounting tax burden driving economy towards collapse’
The Finance Act, 2024 has revised income tax rates on salaries for individuals particularly increasing the tax burden on high salaried persons. New tax slabs have been introduced, lowering the taxable income threshold and raising rates for high-income earners, with the highest rate reaching 35 percent.
Copyright Business Recorder, 2025
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