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Why people of Pakistan dont pay tax?

Taxation in Pakistan Taxation in Pakistan is a complex system of more than 70 unique taxes administered by at least 37 agencies of the Government of Pakistan.

Federal taxes Federal taxes are administered by the Federal Board of Revenue.

Situation of Tax collection is very bad in Pakistan, only 900,000 people pay taxes in Pakistan. Majority of Pakistani peoples also don't pay any income tax according to the report of FBR. Pakistan ranks 23rd from the bottom of a list of 176 countries while 80 per cent of population of Canada pays tax and even 4.7 per cent of Indians also contributing towards tax. He said during the year 2010-11, only 3.1 million NTNs were issued which constitutes only 0.92 per cent of population.

Reasons why people dont pay their tax Lot of people think Government is corrupt & they will waste their money. There are not tax awareness schemes. The system of collecting taxes in Pakistan is not transparent. Poverty rate is very high in Pakistan. There no hard & fast laws for tax defaulters. Government persons are biggest tax defaulters in Pakistan. Lot of court cases are pending due to unspecified rules of tax. Rich & strong people don't pay taxes in Pakistan.