Pakistanis Paid Rs. 476 Billion in Taxes Through Electricity Bills

The Federal Board of Revenue (FBR) collected over Rs. 476 billion in taxes through electricity bills during the previous fiscal year, according to official documents submitted to the Senate Standing Committee on Finance.

The total revenue included Rs. 351 billion in sales tax and Rs. 124 billion in income tax. Although substantial, the collection was lower than in recent years, with tax receipts recorded at Rs. 562 billion in FY2024–25, Rs. 515 billion in FY2023–24, and Rs. 313 billion in FY2022–23.

Among income tax collections, industrial electricity consumers contributed Rs. 66 billion, while commercial users paid Rs. 52 billion. The remaining revenue was collected from domestic consumers under various applicable tax provisions.

For sales tax, Rs. 269 billion was collected at the standard rate, while additional revenue came from higher tax slabs and collections imposed on retailers.

These taxes are included directly in electricity bills issued to households, businesses, and industrial consumers across Pakistan. The mechanism enables the government to collect tax revenue efficiently through the country's electricity distribution companies.