ISLAMABAD (Kashmir English): The Federal Board of Revenue (FBR) has clarified that no new tax has been imposed on solar panels and rejected the impression that solar energy has contributed to higher electricity prices.
During a technical briefing on the federal budget 2026-27, FBR Member Hamid Atiq Sarwar said solar energy systems have played a significant role in protecting consumers from expensive electricity and promoting alternative energy sources across the country.
He said the government has set a revenue collection target of Rs15.264 trillion for the next fiscal year. To achieve this target, the focus will remain on improving tax administration, expanding the tax base, and strengthening enforcement measures rather than introducing new taxes.
Hamid Atiq Sarwar stated that around four million shopkeepers operate across Pakistan, but only about 600,000 are currently registered within the tax net.
He added that the government’s scheme for small traders will not apply to individuals owning more than one shop.
He assured that shopkeepers would not face unnecessary harassment or routine inspections. However, authorities may take legal action if a significant discrepancy is found between a business’s declared income and actual expenditures.
The FBR member said the government aims to generate an additional Rs600 billion through enforcement measures and improved compliance.
He emphasized that documenting the economy and bringing more businesses into the formal tax system remain key priorities.
Rejecting reports of a new tax on solar panels, Hamid Atiq Sarwar reiterated that no additional financial burden has been placed on the solar energy sector.
He added that solar power has helped reduce pressure on the national grid while providing consumers with relief from rising electricity costs.
