ISLAMABAD - The government is struggling to achieve the revenue collection target as Federal Board of Revenue (FBR) has once again missed the tax target set for the month of January 2014, consecutive for the seventh month.
Federal Board of Revenue (FBR) has provisionally collected around Rs 1201 billion during first seven months (July-January) of the current fiscal year 2013-14, leaving shortfall at over Rs 80 billion. Revenue collection target for first seven months was Rs 1282 billion.
“FBR has collected Rs 1201 billion during first seven months (July to January) of the ongoing financial year”, said Shahid Hussain Asad, spokesperson of FBR while talking to The Nation on Friday. He further said that FBR has collected Rs 168 billion in the month of January, which might increase in next couple of days.
The tax department has missed the monthly target by Rs 9 billion, as the target was set at Rs 177 billion. Sources informed that Finance Minister Ishaq Dar had reportedly directed the FBR to double their efforts to achieve what he termed ambitious revenue collection target of Rs 2,475 billion for the current fiscal year. The FBR has to collect Rs 1274 billion in five months (February to June) to reach the unrealistic annual collection target of Rs 2,475 billion. The FBR has to make additional efforts to achieve the tax collection target, which seems likely to meet.
The International Monetary Fund (IMF) has shown concerns over the uphill revenue collection target of the government and projected that FBR would achieve only Rs2,345 billion collection, which is Rs130 billion less than the official target.
Shahid Hussain said that FBR’s collection in January 2013 has shown handsome growth of 26 percent over the same period last year, as it collected Rs 168 billion as against Rs 132 billion. The break-up of Rs 168 billion collected in the month of January showed that FBR has collected Rs 57 billion as income tax, Rs 83 billion as sales tax, Rs 12 billion as federal excise duty and Rs 19 billion and made Rs 4 billion as refund.