The salaried class paid Rs266 billion in income tax during July-December 2025, accounting for nearly 10 per cent of the country’s total income tax collection, according to sources in the Federal Board of Revenue (FBR).

The tax contribution from salaried individuals was nine per cent higher than the same period of the previous fiscal year, despite what officials describe as one of the highest tax burdens on wage earners in Pakistan.

FBR data shows that the salaried class is paying around 38 per cent of its income in taxes.

Sources said employees in Pakistan face a heavier direct tax burden compared to other segments of the economy.

Breaking down the figures, non-corporate salaried employees contributed Rs117 billion in income tax, reflecting a 14 per cent increase year-on-year.

Employees in the corporate sector paid Rs82 billion during the six-month period.

Provincial government employees paid Rs39 billion in income tax, marking a seven per cent decline compared to last year, while federal government employees contributed a combined Rs27 billion, according to FBR sources.

Meanwhile, withholding tax collections from the real estate sector rose sharply.

Receipts from real estate withholding tax reached Rs126 billion, up 17 per cent from the previous year.

Withholding tax on the sale of plots surged by nearly two-thirds to Rs87 billion.

In contrast, tax collection on the purchase of plots fell by 29 per cent to Rs39 billion, indicating subdued buying activity in the property market.

Officials said the figures highlight a growing reliance on salaried individuals and withholding taxes for revenue collection amid broader challenges in expanding the tax base.