ISLAMABAD - The Federal Board of Revenue (FBR) has collected Rs 960 billion during the first seven months (July-January) of the ongoing financial year 2011-2012, which is 25 per cent higher than the collection of same period last year, it was learnt on Saturday.
According to the provisional figures, official sources said that FBR has collected Rs 960 billion during July-January period of the ongoing financial year. However, they said, these figures are provisional and would get finalized in the days to come. They were of the view that tax collection could reach to Rs 970 billion when the final figures come.
Meanwhile, the FBR has collected Rs 125 billion in the month of January, which is less than the target of Rs 140 billion. However the collection of Rs 125 billion in January is Rs 17 billion higher than collection of the same period last year of Rs 108 billion. On the compilation of final figures in the coming days, the revenue collection is expected to cross Rs 130 billion during the period under review.
Sources said that revenue collection is showing constant growth due to the tax measures taken by the FBR in March 2011 have helped the FBR to achieve 27 percent growth during July-December (2011-12). However, the provisional revenue collection figures during July-January 2011-12 have shown 25 percent growth, which is expected to be increased in coming days. According to the sources, the government could achieve the revenue collection target of Rs 1,952 billion in the ongoing financial year if current pace of tax collection prevails in the remaining months of the current fiscal year.
Due to the increase in revenue collection, the fiscal deficit was at 2.6 per cent of the GDP that was expected to three per cent of the GDP during the first half (July-December) of the ongoing fiscal year. Similarly, the government also reduces expenditures in the said period, as it only released 45 per cent for the expenditures against 50 per cent.