Target missed: Tax collection close to Rs1,550b last fiscal year

Collects Rs38 billion less than the target of Rs1,588 billion.

ISLAMABAD:

The Federal Board of Revenue (FBR) collected Rs1,549.88 billion in tax revenues in fiscal year 2010-11, which was Rs38 billion less than the target of Rs1,588 billion but was Rs222 billion more than the collection of Rs1,327.38 billion in the previous year, FBR documents show.

In 2010-11, FBR released Rs106.46 billion in tax refunds and rebate, which was 40 per cent more than the amount released in the previous year. In June alone, tax collection stood at Rs240.43 billion while rebate payments totalled Rs13.56 billion.

According to statistics, of the total revenues, direct tax (income tax) collection increased 14 per cent and stood at Rs598.98 billion compared to Rs525.98 billion in the previous fiscal year.

Among indirect taxes, sales tax receipts rose 22 per cent to Rs630.55 billion compared to Rs516.35 billion in the previous year while federal excise duty collection increased nine per cent to Rs135.71 billion against Rs124.71 billion in the previous year. In customs duty, receipts rose 15 per cent to Rs184.63 billion compared to collection of Rs160.27 billion a year earlier.

Published in The Express Tribune, August 11^th, 2011.