IMF Urges Pakistan to Recover Super Tax Fully, The International Monetary Fund (IMF) has urged Pakistan to address its revenue shortfall by ensuring full recovery of the Super Tax, according to government sources.
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On Tuesday, the Federal Constitutional Court rejected petitions challenging the Super Tax, upholding Section 4B of the Income Tax Ordinance, 2001, while partially nullifying High Court judgments concerning Section 4C.
The ruling allows the Federal Board of Revenue (FBR) to accelerate recovery efforts, following a reported revenue shortfall of Rs335 billion during the first half of the current fiscal year.
Sources said the IMF and FBR held virtual discussions after the verdict, during which the IMF expressed satisfaction and pressed Pakistan to achieve its tax collection targets.
The IMF reportedly demanded completion of all pending Super Tax recoveries within the current month, emphasizing that delayed collections must be cleared promptly to meet fiscal goals.
Estimates indicate that Super Tax collections could reach Rs380 billion by June 2026, with roughly Rs300 billion expected in the coming days and an additional Rs80 billion by the end of the period.
Officials added that once these recoveries are completed, the FBR’s revenue shortfall is likely to be eliminated by December, strengthening Pakistan’s overall fiscal position.
Sources also revealed that the FBR’s legal wing had completed preparations to pursue the Super Tax case in the Supreme Court, reflecting significant IMF pressure to clear pending litigation.
Under the Finance Bill, the Super Tax is levied on large companies at rates ranging from 1 percent to 10 percent, depending on profitability, and applies only to companies exceeding the prescribed profit threshold.
Authorities stressed that the revenue gap will be addressed through enhanced tax income rather than introducing new short-term measures, including a mini budget.
