Pakistan, May 3 -- Pakistan's tax narrative is riddled with paradoxes, systemic injustice, and institutionalized inefficiency. As the country enters yet another budget season in 2025 under increasing pressure from the IMF, the burden of taxation continues to rest disproportionately on the shoulders of the salaried class while those with wealth, influence, and informal sector dominance operate with near-total immunity.
Since 1947, Pakistan's tax system has struggled with narrow base, elite capture, and chronic underperformance. At independence, the newly formed state inherited a rudimentary tax apparatus centered around land revenue and customs duties. In the 1950s, Pakistan's tax-to-GDP ratio hovered around 6%, with agriculture contribut...
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