Islamabad, Feb 9: The federal government has recorded an unprecedented collection of Rs. 549.41 billion through the Petroleum Development Levy (PDL) in the first half of the 2024-25 fiscal year. This marks the highest revenue ever collected in this category during a six-month period.
Official reports indicate that the levy surged by Rs. 76.64 billion compared to the Rs. 472.77 billion gathered during the same period last year. The government has set an ambitious PDL collection target of Rs. 1.281 trillion for the ongoing fiscal year, aiming to break previous records. For reference, the total levy collected in 2023-24 amounted to Rs. 1.019 trillion, significantly higher than the Rs. 580 billion collected in 2022-23.
Currently, the government imposes a petroleum levy of Rs. 60 per liter on both petrol and high-speed diesel. This increase in revenue from the levy reflects the government’s strategy to enhance non-tax revenues and manage fiscal deficits. If the set target is achieved, it will represent the highest PDL collection in the country’s history.
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The consistent rise in petroleum levy collections underscores the impact of global oil price fluctuations and domestic economic policies. It also highlights the government’s reliance on indirect taxation to meet its financial obligations. The increased PDL burden directly affects fuel prices, impacting consumers and businesses alike. However, authorities justify these measures as essential for economic stability and development funding.
With six more months remaining in the fiscal year, all eyes are on whether the government will surpass its ambitious revenue target. Achieving this milestone could shape future taxation policies and fuel price regulations in the country.
