The Federal Board of Revenue (FBR) has indicated that the government plans to completely abolish the Super Tax in Pakistan, potentially bringing significant changes to the country’s taxation system. FBR Chairman Rashid Mahmood Langrial announced that the process of gradually eliminating the additional tax has already started following an initial reduction in its rate.
Speaking during a visit to the Korangi Association of Trade and Industry (KATI) in Karachi on Wednesday, Langrial said the Super Tax rate had already been reduced by two percentage points. He added that the government’s longer-term objective was to remove the tax entirely.
The announcement has attracted attention from Pakistan’s industrial and business communities, which have repeatedly raised concerns about the financial burden of additional taxation. Industrialists believe that reducing taxes could help businesses manage operating expenses, improve investment opportunities, and support industrial growth.
The Super Tax has remained a major concern for several businesses and high-income taxpayers. Industry representatives have argued that additional tax obligations increase financial pressure on companies already dealing with energy costs, import expenses, and other economic challenges.
Langrial’s statement signals a possible shift in the government’s approach towards business taxation. However, the FBR has not announced a specific timetable for complete abolition, and the proposed elimination is expected to take place gradually.
During his meeting with KATI representatives, the FBR chairman also announced plans to establish a dedicated FBR office at the association’s premises. The facility is intended to help industrialists in Karachi’s Korangi Industrial Area resolve taxation-related issues more conveniently.
He further said that the scope of the FBR help desk would be expanded beyond Karachi to Sukkur. The initiative is expected to improve access to tax-related assistance for businesses and taxpayers operating in other parts of Sindh.
Another important issue discussed during the meeting was the import of industrial raw materials. Langrial said the FBR would consult industrialists and relevant stakeholders to identify difficulties in existing procedures and explore ways to simplify the import process.
Easier access to imported raw materials is particularly important for Pakistan’s manufacturing and export industries. Complicated documentation, administrative delays, and additional costs can affect production schedules and increase the overall cost of doing business.
The FBR chairman also promised discussions to address cross-border trade challenges affecting the leather industry. Resolving these difficulties could help businesses involved in the leather sector manage trade-related complications and improve their commercial activities.
In addition, Langrial discussed introducing a model similar to the Drug Regulatory Authority of Pakistan (DRAP) to improve the effectiveness of the Track and Trace System in the pharmaceutical industry.
He urged industrialists and members of the wider business community to cooperate with the FBR in identifying and eliminating tax evasion. According to the chairman, stronger cooperation between businesses and tax authorities is important for creating a more transparent and effective taxation system.
The developments were welcomed by industrial representatives, who have been seeking greater engagement with the tax authority and practical solutions to their concerns.
The announcement also comes amid broader demands from businesses for timely tax refunds, simplified procedures, and greater automation within the FBR. Industrial representatives have highlighted delays in refund payments, arguing that unpaid amounts can restrict working capital and affect business operations.
For Pakistan’s industrial sector, the proposed Super Tax abolition could become an important taxation development if implemented. However, its actual impact will depend on the government’s final policy decisions, implementation timeline, and the measures adopted to maintain revenue collection.
For now, the FBR chairman’s announcement indicates that the government intends to gradually move towards eliminating the Super Tax while introducing additional measures to facilitate industrialists and improve tax administration across Pakistan.