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Pakistan NFC Horizontal Distribution
1. REVENUE SHARING FORMULA UNDER NFC AWARDS
NFC AWARDS AND ASSIGNMENT OF TAXES SHARING CRITERIA (WEIGHTS)
REVENUE INVERSE
PRE - ASSIGNED
AWARD YEAR DIVISIBLE POOL TAXES COLLECTION POPULATION BACKWARDNESS COLLECTION POPULATION
SHARES***
/GENERATION DENSITY
Sales Tax 50%* 50% N/A N/A N/A N/A
RAISMAN 1951 Income Tax & Excise N/A 100% N/A N/A N/A N/A
Duties
Export Duties N/A 100% N/A N/A N/A N/A
NFC 1961-62 Sales Tax 30% 70% N/A N/A N/A N/A
NFC 1964 All other Taxes N/A 100% N/A N/A N/A N/A
Sales Tax 30% 70% N/A N/A N/A N/A
NFC 1970
All Taxes N/A 100% N/A N/A N/A N/A
NFC 1974 All Taxes less Import N/A N/A 100% N/A N/A N/A
Duties
NFC 1990 All Taxes less Import N/A N/A 100% N/A N/A N/A
Duties
NFC 1996 All Taxes N/A N/A 100% N/A N/A N/A
NFC 2006 All Taxes N/A N/A 100% 3%** N/A N/A
NFC 2009 All Taxes N/A N/A 82% 10.3% 5% 2.7%
* Sales Tax collections from Karachi were distributed on the basis of pre-assigned shares.
** From total 3% charge on federal consolidated fund, grant allocated among four provinces as follows Punjab [11%], Sindh [21%], KPK [35%] and Baluchistan
[33%]. The basis of allocation share is judgmental and not followed any tangible criteria.
*** Pre 1970 the allocation of federal divisible pool revenues were on the basis of pre assigned share which h are slightly different than the population share of
provinces. (Refer Table 2)
N/A means the criteria not applicable in particular award.