k e1601965774150
businessfinance

14% increase in Revenue collection by FBR

ISLAMABAD: Prime Minister Imran Khan on Saturday commended the Federal Board of Revenue’s (FBR) efforts on achieving growth of 57 percent in April 2021 with revenue collections recorded at Rs382 billion, compared to Rs240 billion in April last year.

Revenue collection for the period 2021 vs 2020:


According to the provisional information, FBR has collected net revenue of Rs3,780 billion during Jul-April period, which has exceeded the target of Rs3,637 billion by more than Rs143 billion. This represents a growth of about 14 percent over the collection of Rs3,320 billion during the same period last year.

In a tweet, prime minister said: “I commend FBR efforts on achieving growth of 57 percent in April 2021 with collections recorded at Rs384 billion compared to Rs240 billion in April 2020. During July-April, collections reached Rs3,780 billion — 14 percent higher than the same period last year. This shows our policies have led to broad-based economic revival.”

The net collection for the month of April was Rs384 billion, against a required increase of Rs242 billion, representing an increase of 57% over Rs240 billion collected in April 2020 and 159% of the target.

on the other hand, the gross collections increased from Rs3,438 billion during this period last year to Rs3,976 billion, showing an increase of 16 %. The amount of refunds disbursed was Rs195 billion compared to Rs118 billion paid last year, showing an increase of 65 percent. This is reflective of FBR’s resolve to fast-track refunds to prevent liquidity shortages in the industry.

The improvement in revenue collection performance shows a growth towards economic activities which is positive sign for the success of economy.

As all knows that third wave of covid-19 is surging across the country, the gradual growth is the sign of positivity for our development in different sectors, its mean that we are coping up the situation to fight against this disaster.

Income tax returns: Income tax returns for tax year 2020 have reached 2.9 million compared to 2.6 million in tax year 2019, showing an increase of 12 percent. The tax deposited with returns was Rs50.6 billion compared to only Rs33.1 billion, showing an increase of 53 percent.

FBR has also released the information about Tier-I retailers who have been integrated with POS system. According to the information, 10,583 sales points have been integrated with Point of Sales Linked Invoicing System.

Custom duty collection: Pakistan Customs has collected Rs606 billion under the head of customs duty in first 10 months of FY 2020-21 against the assigned target of Rs507 billion and exceeded its target by Rs99 billion, which is 20% more than the assigned target. Whereas during the month of April 2021, an amount of Rs65 billion has been collected under the head of customs duty against the monthly target of Rs59 billion, which is again 10% more than the assigned monthly target.

It is quite important to mention that an amount of Rs88 billion was collected more under the head of customs duty in first 10 months of current financial year as compared to FY 2019-20, despite the re-arrival of COVID-19 pandemic and has shown a growth of 17 percent as compared to previous financial year, which is quite remarkable.

 

Bushra -
the authorBushra -
Web content writer

Leave a Reply