The issue of economic growth and prosperity has been the subject of heated debate around the world for decades. Technology, investment (in both human and physical capital), and innovative manufacturing techniques are without a doubt the growth fundamentals. Taxation has a significant impact on investment and production of corporate sectors, which influences the decisions on the rate of development and growth in corporate sectors and which ultimately effect the economic growth. The global rate of taxation has declined steadily during the previous decades in almost every country. But in Pakistan it is still higher compare to its neighboring countries. This research intends to investigate the effects of corporate tax rate and effective sales tax rate on corporate sector’s production and their corresponding impact on economic growth. This study has used secondary data, and applied two different regression to find out the effect of tax structure on economic growth, In the first regression model we estimate the effect of effective sales tax rate on four corporate sectors’ production (Cement, textile, Cigarettes and natural gas) and in the second regression model we analyzed the effect of estimated corporate sector’s production on economic growth for the time period of 2000 to 2019, in the direct strategy we have used the ARDL technique to analysis the effect of corporate tax rate on economic growth for the time period of 1980 to 2020. The finding of the research suggests that tax structure has negative and statically significant impact on economic growth. The study concludes that by lowering the corporate tax and sales tax rate can increase the production of corporate sector, which will ultimately boast in the economic growth. Therefore to fuel the progress and development in economic growth, well-structured policy framework regarding tax structure is crucial. Supervisor:- Dr. Mahmood Khalid Co-Supervisor:- Dr. Hafsa Hina