ISLAMABAD - The Federal Board of Revenue (FBR) Wednesday unveiled its proposed revenue generation plan of Rs 25 billion that included 15 per cent flood surcharge on Withholding and advance taxes, increase in Special Excise Duty by 1.5 per cent, broadening of tax base and recovery of arrears. The proposed revenue measures will be through legislation of the parliament and will be effective from the month of April 2011, as it is not possible to bring it from next month (March), said, Salman Siddique, Chairman, Federal Board of Revenue while giving presentation to the Senate Standing Committee on Finance and Revenue on revenue shortfall for fiscal year 2010-11, which met under the chair of Senator Ahmad Ali. The proposed revenue generation measures would take the total tax collection target to around Rs 1630 billion for the ongoing financial year from earlier revised target of Rs 1604 billion, he informed the Committee. Chairman FBR further informed the committee that budgetary revenue target was Rs 1667 billion, however later due to failure in introducing Reform General Sales Tax (RGST); the target was revised to Rs 1586 billion. However, the government could not run their expenditures with this revenue, therefore there is dire need to increase the collection target to Rs 1630 billion with some additional measures, he added. The government could not auctioned the 3G licences, which could give Rs 60 billion to the national kitty due to the prevailing economic situation of the country that is another reasons for higher fiscal deficit, he added. Talking about tax evasions, Salman said that tax evasion is 79 per cent of the existing collection. He further said that in total register taxpayer of 29,84000 only 19,65,000 people return their files. FBR is working with Nadra to broaden the tax net. Senators appreciated the performance of the new FBR chairman as they said that Salman Siddique took several steps to control the corruption and brining honest people at front. Senator Haroon Akhtar said that new chairman is working efficiently and he feared that when the time of results would come, he would be transferred. Member, Strategic Planning and Statistics, Mahmood Alam informed the committee that FBR has to collect Rs 827 billion in the remaining five months (Feb-June) of the current fiscal year requiring 31 per cent growth, which is achievable. He further informed that FBR has collected Rs 777 billion in the first seven months (July-January) of the ongoing fiscal year, which is 11 per cent higher than the collection of Rs 694.7 billion in the same period of last fiscal year. Meanwhile, the FBR has refunded Rs 59.2 billion in July-January period of 2010-11 that was 27 per cent more than the refund of Rs 46.5 billion during same period 2009-10, he added. Talking about the reasons of shortfall in revenue collection, he explained several reasons including slow growth in the GDP, decline in collection on demand, contracts, and from electric bills, negative growth on large scale manufacturing, higher refund, and lesser production of cement, sugar, beverages and cigarettes. Later, Deputy Chairman Planning Commission, Dr Nadeem-ul-Haque gave detail presentation on Public Sector Development Programme (PSDP) and New Growth Strategy. He informed that committee that there were several flaws in the current growth strategy; therefore the government is working on new plan. He informed that New Growth Strategy would be for long run period and it would include every segment of the society. We would bring improvement in the market in new strategy. Talking about PSDP, he said that originally, Rs 280 billion was allocated for this programme, which later slashed, to Rs 180 billion. The government had released Rs 103 billion till February 11.