Pakistan Customs revenue rises 17% in first 11 months of fiscal year despite May slowdown
Pakistan Customs collected PKR 3.58 billion in duties and taxes from July 2025 to May 2026, up 17% year over year. May, however, was weaker, with total monthly revenue down 7% and customs duty missing its target.
Intelligence analysis by GPT-5.4 Mini
An official document seen by BOL News shows strong cumulative customs revenue growth over the first 11 months of the fiscal year, driven by gains in sales tax, customs duty, income tax, and federal excise duty. The picture softened in May, when collections slipped across major categories and ended well below target.
Pakistan Customs spent most of the year collecting more money, like a shop doing better sales over time. But in May, the cash coming in slowed down a lot, especially at the very end of the month.
Analysis
Strong 11-month performance
Pakistan Customs collected PKR 3.58 billion in duties and taxes from July 2025 through May 2026, according to an official document cited by BOL News. That was 17% higher than the same period a year earlier, showing broad-based growth across the main revenue heads.
Sales tax was the biggest contributor in absolute terms, rising 18% to PKR 2.06 billion. Customs duty increased 10% to PKR 961.4 million, federal excise duty jumped 43% to PKR 190.4 million, and income tax collections rose 18% to PKR 364.3 million. Even so, customs duty was still 5.6% below the PKR 1.02 billion target set for the period.
Differences across formations
The article breaks the results down by appraisement formations. SAPT posted the strongest customs duty growth at 23%, while East rose 17% and West 7%. PQ was the only formation to decline in customs duty, falling 9%.
The same pattern appeared in sales tax and excise: SAPT led growth in sales tax, while excise performance varied sharply by formation. SAPT reported an 800% increase in excise duty, but West and PQ both fell.
May dragged on the finish
May 2026 was notably weaker. Total revenue for the month reached PKR 304.6 million through May 31, down 7% from a year earlier. Customs duty fell 14% and missed its monthly target by 27%. Sales tax, federal excise duty, and income tax also declined year over year.
The document does not explain why May weakened, and authorities had not commented. With the fiscal year ending on June 30, the final month could still affect the full-year picture.
Key points
- Pakistan Customs collected PKR 3.58 billion in duties and taxes from July 2025 to May 2026, up 17% year over year.
- Sales tax was the largest source of growth, while customs duty, income tax, and federal excise duty also increased.
- Customs duty for the 11-month period was still 5.6% below the target of PKR 1.02 billion.
- May 2026 was weaker, with total revenue down 7% year over year and customs duty missing its monthly target by 27%.
- The article says authorities had not commented on why May collections slowed.
If the year-to-date trend holds, customs and tax collections could finish the fiscal year higher than last year. That would give the government more room in its revenue picture, especially if the strong growth in sales tax and excise continues into June.
The weak May result suggests collections can still fall short in individual months, even after a strong year overall. If that pattern continues, customs duty could remain below target and the end-of-year revenue outcome may be less impressive than the 11-month total suggests.
