ISLAMABAD: The Federal Board of Revenue (FBR) has collected Rs 2.04 trillion during the first quarter of the current financial year against an assigned target of Rs 1.97 trillion, thus exceeding the target by Rs 63 billion.
According to FBR, the tax department has also put in efforts to achieve its revenue target for the month of September, 2023. Against a target of Rs 794 billion, FBR was able to collect Rs. 834 billion, while refunds amounting to Rs. 37 billion were issued.
According to FBR severe import compression was witnessed during the month of September, 2023. This means that the amount of revenue generated from the imports fell significantly. During the month of August, taxes at import stage were collected at Rs. 299 billion whereas during September, taxes at import stage were only Rs. 254 billion.
The FBR was able to make up the shortfall of Rs. 45 billion through domestic taxes, especially direct taxes like income tax.
However, this target was exceeded majorly on the back of indirect taxation. Subsequent power tariff and fuel subsidy hikes may have contributed to an increase in revenue for the FBR, but they simultaneously pose serious inflationary threats for the general public.
Meanwhile the FBR, for the second time this year, has extended its deadline to file personal income tax returns in hopes to broaden the tax net. A feat that the FBR has failed to achieve significantly, in the past.