Abstract
This paper explores how Pakistan can get out of the low-tax-to-GDP trap and come close to achieving its revenue targets. Examining the trend factors influencing the trend in total and individual tax-to-GDP ratios over a period of twenty years, the paper concludes that partially successful and/or inappropriate tax reforms have put Pakistan in this trap. While highlighting that a period of economic slowdown may not be the best time to make a big push on resource mobilization, the paper presents a strategy which aims at not only enhancing tax revenues but also making the taxation structure more progressive, broad based and balanced.
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