ISLAMABAD - Tax collection shortfall of Federal Board of Revenue (FBR) is widening in every passing month despite the fact that the government had imposed massive taxation measures in the budget for current fiscal year.
The FBR has collected Rs320 billion in October 2019 as against the target of Rs370 billion. Chairman FBR Shabbar Zaidi on Thursday said that FBR has collected Rs320 billion during the month of October 2019.
He further said that FBR has maintained overall increase over last year of 16 percent and domestic tax over 25 percent.
This is after taking into account negative aspect of import contraction of around Rs 50 billion, chairman FBR said on his social media account.
Meanwhile, the FBR has collected Rs1283 billion in first four months (July to October) of the ongoing fiscal year as against the target of Rs1441 billion. The FBR has faced Rs158 billion shortfall in four months period.
The government had set challenging tax collection target of Rs5550 billion for the current fiscal year.
However, the government could not achieve the target without additional revenue measures after facing massive shortfall in tax collection in four months.
Meanwhile, the FBR has given another opportunity to the non-tax filers to file their income tax returns by extending the deadline for another one month.
The FBR has extended the deadline aimed to increase the number of tax filers, which had already shown healthy growth in the current year.
“In exercise of the powers conferred under Section 214A of the Income Tax Ordinance, 2001, the Federal Board of Revenue is pleased to extend the date of filing of Income Tax Returns/Statements for the Tax Year 2019.
The date of filing of total income/statements of final taxation for Individuals and Associations of Persons for the Tax Year 2019 which were due on 30m September. 2019 and extended up to 31th October, 2019 is hereby further extended up to 30th November, 2019,” the FBR stated in a notification.
Meanwhile, it added that the date of filing of Total Income/statements of final taxation for Companies for the Tax Year 2019, which were due on 30th September, 2019 and extended up to 31th October 2019, in respect of those companies who have paid ninety five percent of the admitted tax liability on or before 30.09.2019, is hereby further extended upto 30th November, 2019.
The FBR has extended the deadline to give an opportunity to the non-tax filers to file their income tax returns.
According to the FBR, the tax returns per day had risen by 127 percent compared to last year.
The latest data showed that the number of tax returns filed this year has also increased. Tax returns filed so far (till October 25) stand at 918,027.
Tax returns filed in the same period last year or by October 25, 2018 were clocked at 585, 209. Average tax returns filed per day amounted to 18,735 during the current fiscal year.
During the same period last year tax returns filed amounted to 8242. Tax returns per day showed a noticeable rise of 127 percent, according to the chairman FBR. The FBR had set a target of 5 million returns in the current fiscal year.