Revenue collection jumped 20pc to Rs3.11tr in FY16

Revenue collection jumped 20pc to Rs3.11tr in FY16

139
0
SHARE

ISLAMABAD: Revenue collection witnessed a growth of over 20 per cent as it reached an all-time high of Rs3,112 billion in the outgoing fiscal year from Rs2,589.97bn collected over the corresponding period last year.

“We are expecting around Rs13bn more, when the revenue figures will finally be reconciled shortly,” a senior tax official told Dawn. The revenue collection target was Rs3,104bn until July 1.

Updated data was unavailable because the online verification system of the tax department was inoperative. The banking system link is also down which caused a delay in the clearance of online taxes, the tax official added.

On Monday, the Sindh government deposited Rs5.4bn as income tax against past liabilities, another Rs5bn is awaiting clearance in the system, the official said. With all these adjustments, the total revenue collection will reach approximately around Rs3,125bn, claimed the official.

On July 12, Finance Minister Ishaq Dar will formally announce the final figures at the FBR headquarters. Prime Minister Nawaz Sharif is also expected to be part of the event if he returns to Pakistan before July 12, an official said requesting not to be quoted.

“We are expecting to receive more than Rs10bn in income tax during the next few days when revenue figures are finalized” and revenue is already in the pipeline which needs clearance of the system, the official added.

Sales tax collection has reached an amount of Rs1357.1bn in 2015-16 against Rs1087.790bn collected over the corresponding period last year, showing an increase of 25pc. This growth in sales tax collection is mainly achieved by fixing sales taxes on the import of petroleum products on a per litre basis.

The federal excise duty (FED) collection witnessed an impressive growth of 18pc as its collection reached to Rs191.6bn in 2015-16 as against Rs162.248bn collected during the same period last year.

The robust growth in the FED was the outcome of the unearthing of tax from a foreign airline. The clearance of debt by other airlines also helped in realizing higher FED.

However, the collection from cigarettes witnessed a decline during the year under review. The performance of FED from the beverage industry was unsatisfactory as well. Customs collection reached Rs401bn in 2015-16 as against Rs306.220bn collected over the corresponding period last year, an increase of 31pc.

This growth was driven by the increasing number of regulatory duties imposed on several hundred products last year. The revision of duties on the import of mobile phones also helped revenue collection.

FBR Official Spokesperson Dr Muhammad Iqbal attributed the rise in revenue collection to sustained and untiring efforts of the tax department. He said the revenue collection target was exceeded despite a cash refund of Rs54bn disbursed among taxpayers during the year 2015-16.

Source

http://dawn.com