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Wednesday, February 14, 2024

FBR collects historic Rs4.7 trillion revenue

According to provisional figures released by FBR, the collection also surpassed the target of Rs4,691 billion set for the FY2020-21 by Rs41 billion.

The revenue collection by the Federal Board of Revenue (FBR) witnessed historic growth of 18 percent during the fiscal year 2020-21 and mounted to Rs4,732 billion against the collection of Rs3,997 billion during FY2019-20.

According to provisional figures released by FBR here Thursday, the collection also surpassed the target of Rs4,691 billion set for the FY2020-21 by Rs41 billion.

Meanwhile, the net collection for the month of June 2021 was recorded at Rs 568 billion, representing an increase of 26% over the collection of Rs 451 billion collected in June 2020.

The press statement added that the growth of 18% was unprecedented particularly as it was realized on the heel of 26% growth in June. These figures would further improve before the close of the day and after book adjustments have been taken into account.

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On the other hand, the gross collections increased from Rs. 4,132 billion last year to Rs. 4,983 billion during July-June (2020-21), showing an increase of 21 %.

During the period, the amount of refunds disbursed was Rs. 251 billion compared to Rs. 135 billion paid last year, showing an increase of 86%. This is reflective of FBR’s resolve to fast-track refunds to prevent liquidity shortages in the industry.

The improved revenue performance is even more significant due to adoption of ‘no-undue’ advances policy as well as effective enforcement by field formations, the statement said adding that it was also a reflection of growing economic activities in the country despite facing the challenge of third wave of COVID-19.

Meanwhile, FBR’s efforts to broaden the tax base are expending apace as early signs suggest such efforts were bearing fruits.

As on June 30, 2021, income tax returns for tax year 2020 have reached 3.01 million compared to 2.67 million in Tax Year 2019, showing an increase of 12.5 %. The tax deposited with returns was Rs.52 billion compared to only Rs.34.3 billion last year, showing an increase of 52.1%.

According to the information released by FBR, 11,100 point-of-sale terminals have been integrated with real-time reporting system of FBR.

The Pakistan Customs collected Rs. 742 billion under the head of customs duty in FY 2020-21 against the assigned target of Rs. 640 billion and exceeded its target by Rs. 102 billion which is 16% more than the assigned target.

On the other hand, during the month of June, 2021 an amount of Rs. 83 billion has been collected under the head of customs duty against the monthly target of Rs. 75 billion which is again 12% more than the assigned monthly target.

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It is pertinent to mention that an amount of Rs. 117 billion was collected more under the head of customs duty in financial year 2020-21 as compared to FY 2019-20, despite the re-arrival of COVID-19 pandemic and has shown a growth of 18% as compared to previous financial year, which is quite remarkable.

During June 2021 smuggled goods worth Rs. 3.7 billion were seized. Similarly, during July 2020- June 2021, smuggled goods worth Rs. 57.7 billion were seized as compared to Rs. 36 billion in Jul 2019-June 2020 thus showing an increase of 58%.

The statement added that the Directorate General of Intelligence & Investigation-IR showed commendable performance during July 2020 to June 2021.

During this period, Directorate General forwarded 1,608 Investigation Reports and Red Alerts to the field formations involving revenue amounting to Rs. 244 billion. Directorate General filed 71 complaints under Anti-Money Laundering Act, 2010 where more than Rs. 62 billion were involved.

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Directorate General seized 8,754 cartons containing 87,540,000 cigarette sticks during the period of July 2020 to June 2021, it added.

Courtesy: APP