Provincial agricultural income-tax regimes were amended, applying to income from 1 Jan 2025.
Source
IMF — https://www.elibrary.imf.org/view/journals/002/2025/109/article-A001-en.xml. Verified in source set / retroactive normalization pending.
What it proves
Case study for horizontal tax equity and broadening the tax base.
What it does not prove: This is a change in statute with a commencement date, not revenue in hand — income from 1 January 2025 falls due for assessment only after that income year closes, so no collection outcome exists yet. Administration sits with provincial revenue authorities, not FBR, in a sector whose effective rate was about 0.3%, which is precisely the enforcement capacity the amendment has still to prove.
Memory hook: 1 January 2025 → farm income becomes taxable on paper; collection still untested
Rebuts the claim: "Agricultural income simply cannot be taxed in Pakistan" — all provinces amended their regimes with a common commencement date; the binding constraint is assessment and collection, not legal impossibility.