Tag: revenue collection

ISLAMABAD: Federal Board of Revenue (FBR) needs to collect Rs2,047 billion in last four months of the current fiscal year to achieve the revenue annual collection target of Rs4,963 billion, according to estimates of PkRevenue.com made after eight months collection issued on Sunday.

The FBR will need to grow the revenue at 64 percent during the last four months as it collected Rs1247 billion in the last four months of the fiscal year 2019/2020.

The FBR was assigned the annual collection target of Rs4,963 billion for fiscal year 2020/2021 as compared with total collection of Rs3,997 billion in the last fiscal year, which was 24.2 percent higher.

A spokesman of the FBR in a tweet said that the FBR provisionally collected Rs2,916 billion during first eight months (July – February) of 2020/2021 as against the collection of Rs2,750 billion in the corresponding months of the last fiscal year, showing a growth of 6 percent.

However, the collection for the period of first eight months of the current fiscal year is higher than the target of Rs2,898 billion assigned for the period, the spokesman said.

The revenue collection for the month of February also crossed the target of Rs325 billon to reach at Rs343 billion. However, the monthly collection is five percent higher when compared with Rs326 billion collected in the same month of the last year.

The gross collection of the FBR posted 9 percent growth to Rs3,068 billion during the first eight months of the current fiscal year as compared with Rs2,823 billion in the corresponding months of the last fiscal year.

The FBR said that considering the liquidity problems of the trade and industry due to coronavirus pandemic the issuance of refunds registered 97 percent increase. The FBR issued Rs152 billion as refunds during the first eight months of the current fiscal year as compared with Rs79 billion issued in the same period of the last fiscal year.

KARACHI: Dr. Muhammad Ashfaq, Member Inland Revenue (Operations) of the Federal Board of Revenue (FBR) has launched a round of meetings with tax officials and industrialists during his four–day visit to Karachi starting from January 14, 2021.

FBR sources on Thursday said that the Member IR had a busy schedule, which included meeting with the tax offices and chambers/associations.

The sources said that the meetings would focus on revenue collection during the first half of the current fiscal year.

During his meeting with chambers and associations, the member would encourage the industrials to contribute towards revenue collection.

According to the schedule, the member will kick off the visit to meet with an industrialist on Thursday evening.

The member on Friday will meet with office bearers of Karachi Chamber of Commerce and Industry (KCCI) and Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA). On the same day, the Member will meet the senior officials of the Medium Tax Office (MTO) and Corporate Tax Office (CTO) to review the revenue collection performance.

On Saturday, the member will hold meetings with representatives of the Pakistan Yarn Merchant Association (PYMA) and Karachi Tax Bar Association (KTBA). On the same day, the Member will also hold a meeting with office-bearers of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI).

On Sunday, the Member is scheduled to meet Chief Commissioners Inland Revenue to discuss the revenue performance.

ISLAMABAD: Federal Board of Revenue (FBR) is required to collect Rs3,275 billion in remaining seven months to meet the revenue collection target for the current fiscal year.

The FBR has been assigned to collect Rs4,963 billion as revenue collection target for the fiscal year 2020/2021.

The FBR provisionally collected Rs1,688 billion during first five months (July – November) 2020/2021, according to details made available on Tuesday.

The collection during the first five months of the current fiscal year however above the target of Rs Rs1,669 billion for the period.

The revenue collection during July-November (2020-2021) also witnessed an increase of over 4 percent as compared to the collection of Rs1,623 billion in the corresponding period of the last fiscal year.

According to the breakup figures, the Income Tax collection during the period under review was recorded at Rs 577 billion.

Similarly, collection of Sales Tax, Federal Excise Duty, Customs Duty remained at Rs 743 billion, Rs 104 billion and Rs 264.4 billion, respectively.

The FBR collected gross revenue of Rs 1,773 billion during the first five months compared to the collection of Rs1,664 billion last year, showing an increase of Rs109 billion in the current year.

Meanwhile, during the month of November 2020, the FBR collected revenues Rs 347 billion against the target of Rs 348 billion.

Meanwhile, during the first five months of current fiscal year, refunds to the tune of Rs 80 billion were issued against Rs41 billion last year. The refunds helped in boost economic activity in the country.

The refunds issued during the month of November this year were recorded at over Rs17 billion which were Rs4 billion in the corresponding month last year.

Despite increase in refunds, FBR still managed to cross the revenue collection of November last year.

During the first five months of current Fiscal Year, smuggled goods worth Rs27 billion were seized as compared to seizures of Rs18 billion during the corresponding months of 2019.

According to an FBR press statement, the board’s appreciable performance was despite the fact that the economy had been sluggish in the wake of on-going COVID-19 pandemic.

Moreover, the government had extended significant tax relief measures to the public in the Finance Act, 2020.

The statement added that the board was fully geared towards automation, e-audit, and simplification of procedures, e-payment of duty draw back so as to add to Ease of Doing Business (EoDB).

The board launched a single page simplified Income Tax Return for SME manufacturers and also upgraded IRIS system for issuing SMS and e-mails whenever any notice was issued or any assignment is created by Tax Officer.

The FBR launched a system Maloomat-TaxRay wherein taxpayers’ can access all information available with the FBR by logging through a secure mechanism.

This feature has been launched in mobile app, Tax Assan, so that taxpayers’ can easily access all such information.

They had appealed the taxpayers to avail these facilitative measures and ensure filing Annual Income Tax Returns by the last date i.e. December 8, 2020.

ISLAMABAD: The growth in revenue collection by Federal Board of Revenue (FBR) was remained flat at Rs593 billion during July – August of current fiscal year FY21 as compared with Rs582 billion in the corresponding month of the last fiscal year.

However, the FBR on Monday said that it had surpassed the revenue collection target of Rs551 billion by Rs42 billion during the months under review.

The FBR said that to redress the hardships of the business community caused by Covid-19, refunds to the tune of Rs30.6 billion have been disbursed collectively in the first two months of current fiscal year, as compared to refunds of Rs11 billion during first two months of the last fiscal year.

Sales Tax refunds are being issued under centralized and automated system called FASTER which is clearing refunds to exporters within 72 hours for the first time as committed by the government.

FBR is also engaging with trade and industry to mitigate their genuine grievances. FBR is proactively reaching out to Trade and Industry and resolving their issues.

FBR has also launched an unprecedented crackdown on corruption dismissing and suspending 76 officers and officials since July 2020.

In post COVID-19 pandemic scenario, the economic activities are now being revived through multiple economic stimuli and reliefs granted in the budget FY-2020-21.

Hectic efforts were put up by Customs field formations in respect of collection of duty and taxes which was otherwise a daunting task owing to post COVID-19 pandemic economic constraints, Muharram’s holidays and heavy rain fall in Karachi which is the epicenter of country’s revenue collection.

This heavy rainfall badly affected the customs clearance of imported cargo during the last week of this month and resultantly the revenue collection.

According to the official figure, total customs duty collected during first two months of current FY-2020 is Rs. 92 billion. Sales tax collection at import stage is on lower side as compared to the corresponding period of the previous year owing again to heavy rain fall in Karachi.

Furthermore, exemption granted in respect of Additional Customs Duty (ACD) on more than 1600 tariff lines in budget FY 2020-21, also subsequently resulted into decrease in sales taxable value.

In line with the vision and directives of the honorable Prime Minister of Pakistan to curb the menace of smuggling, the Federal Board of Revenue (FBR) vigorously launched a countrywide counter-smuggling drive.

The FBR accordingly directed its field formations to make all out efforts to intensify anti-smuggling activities.

In pursuance of the aforesaid directions, Pakistan Customs has initiated massive anti-smuggling operations throughout the country and across all terrains that have led to significant seizures of smuggled goods.

During the month of August 2020 alone, Customs seized smuggled goods worth Rs. 3.95 Billion as compared to Rs 2.1 Billion in August 2019, thus showing an increase of 87.3%. These seized goods included fabrics, cigarettes, foreign currency, POL products, auto parts, foodstuff, narcotics and other miscellaneous goods.

Moreover, mega seizures of luxury vehicles, gold, and betel nuts were also effected during the same period. The Customs formations at Quetta, Peshawar and Multan have seized smuggled goods worth Rs. 1.6 Billion, while most of the remaining goods were at Karachi, Lahore and Islamabad from raids on godowns wherein smuggled goods were stored.