Tax collection stands at Rs53b for December

FBR’s target for the month is Rs147b, shortfall expected.

ISLAMABAD: The Federal Board of Revenue (FBR) has received Rs53 billion in tax revenue for first 22 days of December, which is 22 per cent less than the Rs68 billion collected in the same period last year.

Only 3,013 companies have filed their income tax returns so far as compared to the 21,000 companies which filed returns in the same period last year. However, it is expected that the companies will file their returns by December 31, the new deadline for submitting income tax returns. Sources said that the FBR’s target for tax collection in December is Rs147 billion. The current tally is Rs93 billion away from the target.

Sales tax collection was down by 31 per cent, federal excise duty collection was down by 71 per cent while customs duties collection remained unchanged.

However, tax collection for the month is likely to be Rs135-140 billion, informed sources. The low numbers for current tax collection were blamed on the fact that the deadline for filing income tax returns was extended to December 31, while the deadline for filing sales tax and federal excise duty returns was extended to December 24. Sources added that income tax receipts of Rs60 billion are expected by the end of December.

Published in The Express Tribune, December 23^rd, 2010.