Read this ...
Less than 1 percent of Pakistanis pay tax – Survey | Aboard The Democracy Train
You mean the documented economy. There are entire regions that are beyond any tax regime. I suspect the number of taxpayers in entire FATA probably can be counted on your fingers . It is not much better in most of Balochistan and large parts of Khyber Pak, interior Sindh and Punjab. Most farmers large or small are safely outside the system. Frankly it is ridicalous.
Everybody has sprouted beards but non are decent enough to even register with FBR indeed it is other way around all the traders will create ruckus and strikes even just the mention of tax. In a country of 190 million people this a scandal that nobody wants to talk about.
Huge housing estates are sprouting everywhere [ Peshawar, Islamabad, Lahore, Faisalabad the list goes ) so question is these middle class people must be making money to buy houses and cars but non are registered with FBR. Why the FBR does not make these people account for the money is beyond me. Corruption and incompetence in equal doses perhaps.
Click on this:
Google Maps
Google Maps
TAX AND AID: This scandal is likely to encourage international donors who want the country to widen its tax base before asking for more aid.
Only 0.6 per cent of the population pays taxes in Pakistan, as against 4.7 per cent in India, 58 per cent in France and 80 per cent in Canada.
This is despite the fact that the government has doubled salaries of tax officials in the hope that it will improve the compliance level, but to no avail.
Pakistan continues to have the lowest number of active taxpayers per tax administrator in South Asia — 64. In India, taxpayers per tax administrator share stands at 537, in Sri Lanka 232, in the United States 1,990 and Switzerland 3,182.
* 4.7 divided 0.6 is nearly 8. Which means 8 times more Indian's pay tax then Pakistani's. This is terrible and we are not going anywhere without fixing this problem. If this keeps up we will have more tax inspectors then taxpayers.