The Federal Board of Revenue (FBR) gathered Rs4.06 trillion in tax revenue during the first four months of the current fiscal year.
This collection resulted in a shortfall of Rs124 billion against the targets set for the July-October period. The government and the International Monetary Fund (IMF) assigned the FBR an annual tax target of Rs15.263 trillion for the current fiscal year. That annual figure represents a required growth of 17.4% over the previous year's collections.
Tax receipts for October reached Rs974 billion, missing the monthly target of Rs1.132 trillion by Rs158 billion. The FBR received Rs1.85 trillion in income tax, which fell short of the four-month target by Rs165 billion. Sales tax collection reached Rs1.515 trillion, surpassing the target by Rs67 billion for the same period.
Federal excise duty collection stood at Rs277 billion, while customs duty payments reached Rs424 billion. Customs duty payments were Rs25 billion lower than the set target. Sales tax receipts for the four-month period were Rs155 billion, or 11.3%, higher than the previous year.
Federal excise duty collection grew by only 6.5% during the period. Customs duty payments remained almost at the same level as last year with no growth. Overall tax collection for the July-October period showed a slim growth of 6%, or Rs220 billion, compared to the same period last year.
The FBR received Rs85.2 billion in income tax paid along with returns as of October 28. Sales tax collection remained higher than the target for the fourth consecutive month. The IRS Officers Association threatened to stage a pen-down strike after coming to know about the government's plans to establish a new tax agency or outsourcing the functions of the FBR.
The association president escaped suspension or being deputed in a province. The government's proposal to establish a new tax agency was shelved.
