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Tag: tax collection

  • FBR collects Rs2.69 trillion in 5MFY23 despite tax free petroleum products

    FBR collects Rs2.69 trillion in 5MFY23 despite tax free petroleum products

    ISLAMABAD: Federal Board of Revenue (FBR) on Wednesday announced to collect Rs2.69 trillion during first five months (July – November) 2022/2023 (5MFY23) surpassing revenue target for the period, despite no tax on petroleum products.

    In a statement the FBR said that it had continued to demonstrate excellent performance in revenue collection for the fifth consecutive month of the current financial year and has exceeded both the five months target of Rs2.68 trillion as well as monthly target of Rs537 billion despite import compression and zero rating on POL products.

    READ MORE: Tax return filing date extended up to Dec 15, 2022

    As per provisional figures, Rs2.69 trillion has been collected against Rs 2.33 trillion collected during the corresponding period of the previous year, by recording an increase of over 15.3 per cent.

    The FBR has also issued refunds to the tune of Rs135 billion as against Rs124 billion issued last year.

    Provisional gross revenue collection is recorded as Rs2.82 trillion for the first five months as against Rs2.45 trillion collected during the corresponding period of the previous fiscal year. Collection of direct tax registered maximum growth of 43 per cent.

    READ MORE: FBR sets up check posts for monitoring supplies from tax exempt areas

    The provisional net collection for the month of November, 2022 is Rs538.2 billion which shows an increase of more than 11.5 per cent over the collection of Rs 480 billion for November 2021.

    The revenue body acknowledged the efforts of all field formations and officers for their untiring efforts and commitment to optimize revenue collection in difficult times where sales tax collection on imports is showing negative growth.

    READ MORE: Tax on deemed income from immovable property under Section 7E

    Achievement of targets was made possible due to extraordinary steps taken in the areas of recoveries, monitoring and day to day vigilance.

    Only in the area of Income Tax arrears, FBR collected Rs.24.17 billion during the five-month period as against Rs.11.69 billion collected last year.

    During the month Rs.8.98 billion was collected against Rs.6.65 billion collected last year.

    READ MORE: Supreme Court discourages taxpayers seeking relief in show cause notices

    The revenue collection trends during the first five months of the financial year augurs well towards the achievement of the assigned revenue targets for current financial year. This unprecedented growth in tax revenues underscore the resolve of the Government and FBR to make Pakistan a prosperous nation.

  • FBR directs intensified enforcement to meet collection target

    FBR directs intensified enforcement to meet collection target

    KARACHI: Asim Ahmad, Chairman, Federal Board of Revenue (FBR) has directed tax offices to intensified enforcement measures to meet tax collection targets set for current fiscal year.

    According a statement issued on Monday, the chairman directed all Chief Commissioners of Inland Revenue (CCIRs) that all out efforts must be taken to safeguard revenue and to meet the budgetary target fixed for financial year 2022-2023 through intensified enforcement measures.

    READ MORE: FBR approves setting up directorate for risk profiling of main sectors

    The FBR chairman visited Karachi and remained in the city for three days. He chaired chief commissioners’ conference of eight field formations of Sindh and Balochistan held at Large Taxpayers’ Office (LTO) Karachi. Member Inland Revenue (Operations) Amjad Zubair Tiwana also accompanied the FBR chairman.

    Detailed presentations regarding revenue collections for and up to month of October were given by all chief commissioners, further outlining the strategy for achievement of budgetary targets for November and the rest of financial year 2022-2023.

    READ MORE: National Tax Council discusses GST harmonization

    The CCIR’s gave workable strategy and new avenues for achieving the revenue target for the current financial year.

    The chairman also held a meeting with Karachi Tax Bar Association (KTBA). Rehan Jafri, KTBA President along with other members of the tax bar were present.

    The tax bar raised operational and technical issues regarding Iris software relating to filing of returns.

    The FBR chairman assured the bar of early resolution of the issue as highlighted. The chairman also expressed that bar and bench together are the cornerstone for smooth functioning of taxation system and also acknowledged efforts of KTBA in this regard.

    READ MORE: Definitions under Pakistan Income Tax Laws updated up to June 30, 2022

    The chairman also visited KCCI and appreciated the contribution of the business community in achievement of budgetary target up to October, 2022. Zubair Motiwala and other members of the chamber raised various return-related issues and customs duties. Asim Ahmad assured them of early resolution of the issues.

    Later, FBR chairman visited Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and met the officer bearers of the apex trade body.

    READ MORE: No tax amnesty, no tax rate cut under IMF program: FBR chief

    Issues regarding issuance of refunds and taxes levied on assets were discussed. The chairman assured the FPCCI of speedy issuance of refunds. Regarding, tax on assets, the chairman stated that the same was a revenue measure which is subjudice before the superiod courts.

  • FBR surpasses first quarter collection target by Rs27 billion

    FBR surpasses first quarter collection target by Rs27 billion

    ISLAMABAD: The Federal Board of Revenue (FBR) has surpassed the revenue collection target assigned for July – September 2022-2023 by Rs27 billion.

    The FBR in a statement issued on Friday stated that the target of the first quarter of the current financial year has also been surpassed by achieving Rs1635 billion against the target of Rs1609 billion and the growth is more than 17 per cent for the quarter. FBR has collected Rs27 billion in excess of the target.

    READ MORE: FBR extends return filing date up to October 31, 2022

    These figures would further improve before the close of the day, the FBR said.

    The FBR released the provisional revenue collection figures for the month of September and the first quarter of the current financial year.

    The revenue body collected net revenue of Rs685 billion during the month of September against the target of Rs684 billion which is 27 per cent higher than the collection of September last year.

    This performance in revenue collection is despite zero rating of Sales Tax on POL products, import compression and the prevailing situation of floods.

    READ MORE: LTO Karachi collects PKR 456 billion in 1QFY23

    This impressive growth is primarily based on the 41 per cent growth in direct taxes in the first quarter which is in line with the policy of the government to tax the rich and affluent.

    The revenue performance is reflective of robust revenue mobilization strategy of FBR and effective enforcement by the field formations.

    READ MORE: Dar appreciates FBR for taxing rich

    On the other hand, the amount of refunds of Rs84 billion disbursed during the first quarter against Rs62 billion in the first quarter of the last year which is 35.5 per cent higher.

    FBR expresses its profound gratitude to all the taxpayers who have made possible this remarkable record collection during the first quarter of the year.

    READ MORE: FBR issues procedure, collection of capital value tax

  • LTO Karachi collects PKR 456 billion in 1QFY23

    LTO Karachi collects PKR 456 billion in 1QFY23

    The Large Taxpayers Office (LTO) Karachi, the flagship revenue collection arm of the Federal Board of Revenue (FBR), has demonstrated exceptional performance by collecting a staggering PKR 456.4 billion during the first quarter of the fiscal year 2022/2023 (July – September).

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  • FBR collects Rs948 billion as tax revenue during 2MFY23

    FBR collects Rs948 billion as tax revenue during 2MFY23

    ISLAMABAD: The Federal Board of Revenue (FBR) has collected Rs948 billion as tax revenue during first two months (July – August) of fiscal year 2022/2023, according to provisional data released on Wednesday.

    The FBR surpassed the revenue collection target of Rs926 billion set for the period.

    READ MORE: FBR announces tax exemptions for flood relief operation

    According to the provisional data for the month of August 2022, the FBR has collected net revenue of Rs. 489 billion, which has exceeded the target of Rs. 483 billion against Rs. 448 billion collected during the same period, last year.

    These figures would further improve after the book adjustments have been taken into account. These collections are the highest ever in the month of August.

    This outstanding revenue performance is a reflection of FBR’s resolve to build on its growth trajectory despite floods, zero rating on POL products, and import compression, the FBR said.

    READ MORE: KTBA demands suspending further tax due to practical issues

    On the other hand, the gross collection increased from Rs. 462 billion during August last year to Rs. 526 billion, showing an increase of 14 per cent.

     Likewise, the amount of refunds disbursed during August was Rs. 37 billion compared to Rs. 14.3 billion paid last year, showing an increase of 161 per cent. This is reflective of FBR’s strong commitment to fast-track refunds and thereby prevent liquidity shortages in the industry.

    The significant revenue increase in August is largely the outcome of various policy and revenue measures introduced by the government in Finance Act 2022. Unlike in the past, there is a visible focus on taxing the rich and affluent.

    READ MORE: FBR gets 3.38 million active taxpayers by August 28, 2022

    Owing to this paradigm shift, the growth in domestic Income Tax is almost 38 per cent which is a remarkable shift towards direct taxation. Likewise, there is a significant upsurge in Advance Tax collected during August, which is 72 per cent increase from the corresponding period of the previous year.

    Provisional collection of Income Tax, Sales Tax, Federal Excise and Customs Duty were respectively Rs.165 billion, Rs. 218 billion, Rs.24 billion and Rs. 82 billion as against Rs.124 billion, Rs. 223 billion, Rs. 23 billion and Rs.77 billion during the corresponding period of the previous year.

    READ MORE: Tax rates on mobile phone, internet users during 2022-2023

  • Tax through electricity bills not taken back: clarification

    Tax through electricity bills not taken back: clarification

    ISLAMABAD: The federal government on Thursday clarified that the tax through electricity bills has not been taken back so far.

    A clarification has been issued through official media of the government of Pakistan that news being released by some media channels that the government has taken back the decision of tax on electricity bills.

    READ MORE: Pakistan’s tax agency collects Rs458 billion in July 2022

    “It is clarified that there is no authenticity in such news and no decision has so far been taken by the govt. However talks are been held with traders and business community on taxes on electricity bills.”

    The power utilities across the country have started collection of sales tax on retailers through the electricity bills for the month of July 2022.

    The tax has been imposed on all commercial connections irrespective the nature of work or business at the premises where the electricity meter is installed.

    READ MORE: FTO investigates tax collection through electricity bills

    Following the issuance of bills for the month of July 2022 a huge resentment was seen from the retailers as well as service providers.

    Service providers say that they were not liable to pay sales tax to the federal government as the provincial governments have jurisdiction over it.

    READ MORE: Super tax to hammer auto business in Pakistan: Honda Atlas

    However, Finance Minister Miftah Ismail recently held talks with business community and retailers to resolve the issue.

    The finance minister promised that the issue would be resolved soon. He said that bills below 150 units would not be subject to the tax. The finance minister also assured the business community that other taxes on the electricity bills would also be withdrawn once the issue of fixed tax regime for retailers was settled.

    READ MORE: FBR starts filling 502 vacancies in Inland Revenue

  • Pakistan’s tax agency collects Rs458 billion in July 2022

    Pakistan’s tax agency collects Rs458 billion in July 2022

    ISLAMABAD: The Federal Board of Revenue (FBR) has achieved a remarkable milestone by collecting net revenue of Rs 458 billion during July 2022. This collection has surpassed the monthly target of Rs 443 billion by Rs 15 billion, as confirmed by an official statement issued by the FBR on Monday.

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  • SRB collects Rs153.5 billion tax in FY22

    SRB collects Rs153.5 billion tax in FY22

    KARACHI: The Sindh Revenue Board (SRB) has collected Rs153.5 billion tax for the fiscal year 2021-22. The growth of collection stands at 20% from the last year’s collection of Rs128.1 billion.

    SRB collected the excess amount of Rs3.5 billion as the assigned target was collection of Rs150 billion

    READ MORE: SRB collects Rs132 billion as services tax in 11 months

    The said amount comprises of Rs145.3 billion collected under the head of Sindh Sales Tax on Services whereas Rs8.2 billion under the Sindh Workers Welfare Fund / Sindh Workers Profit Participation Fund.

    Thus, SRB exceeded the assigned target of Rs150 billion by Rs3.5 billion. Moreover, the growth over last year’s collection of Rs128.1 billion stands at 20%.

    READ MORE: Sindh integrates 56 restaurants for online tax monitoring

    The growth achieved by SRB is significant keeping in the view the fact that in the year 2021-22 no amnesty scheme was announced in order to establish a robust culture of tax compliance. Whereas in the past such schemes resulted in an additional revenue of approx. 2 to 3 billion.

    READ MORE: Tax officials barred from direct freezing bank accounts

    The Chairman Sindh Revenue Board appreciated the exemplary performance shown SRB employees, the cooperation extended by the taxpayers their representatives bodies and the unabated support of the Chief Minister and Government of Sindh.

    READ MORE: SRB implements verification system for utility invoices

  • FBR assigned tax collection target of Rs7 trillion in 2022/2023

    FBR assigned tax collection target of Rs7 trillion in 2022/2023

    ISLAMABAD: The Federal Board of Revenue (FBR) has been assigned a tax collection target of Rs7 trillion for the fiscal year 2022/2023 against the existing target of Rs6 trillion for the outgoing fiscal year.

    According to the official documents of the budget 2022/2023, the FBR tax collection has been estimated at Rs7 trillion up 16.66 per cent from Rs6 trillion in the current fiscal year.

    READ MORE: Budget 2022/2023: Salient features of customs duty act

    The tax collection target under the head of direct taxes has been fixed at Rs2.573 trillion for the fiscal year 2022/2023 as compared to the estimated collection of Rs2.204 trillion in the current fiscal year.

    Under the head of direct taxes, the income tax collection target has been set at Rs2.558 trillion as compared with Rs2.191 trillion.

    READ MORE: Budget 2022/2023: Salient features of sales tax

    The collection targets for workers welfare fund, workers profit participation fund and capital value tax have been set at Rs6.94 billion, Rs7.46 billion and Rs515 million, respectively.

    The FBR has been assigned a target for indirect tax collection at Rs4.431 trillion for the fiscal year 2022/2023 as against estimated collection of Rs3.796 trillion in the outgoing fiscal year.

    READ MORE: Budget 2022/2023: Salient features of income tax

    The collection target for customs duty has been set at Rs953 trillion during the next fiscal year as compared with Rs817 billion in the current fiscal year.

    The sales tax collection target has been set at Rs3.076 trillion for fiscal year 2022/2023 as compared with estimated collection of Rs2.635 trillion in the current fiscal year.

    READ MORE: Pakistan allocates Rs800 billion for FY23 PSDP

    An amount of Rs402 billion has been set as target for federal excise duty (FED) collection in the fiscal year 2022/2023 as against the existing estimate of Rs344 billion in the fiscal year Rs344 billion.

  • New tax measures likely in budget 2022-2023

    New tax measures likely in budget 2022-2023

    Pakistan is presenting the federal budget 2022-2023 on June 10, 2022. A bulk of new taxation measures likely to be announced in the budget to generate additional revenue.

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