FBR fails to meet even revised revenue target: Report

FBR fails to meet even revised revenue target: Report
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ISLAMABAD: The Federal Board of Revenue (FBR) failed to meet its revised revenue target of Rs3.935 trillion, as it provisionally collected Rs3.8 trillion by end of FY18, resulting in a shortfall of Rs135 billion.

According to tax regulator officials, provisional data was still under compilation and no final figure has been ascertained.

On Sunday, the government revised the Foreign Assets (Declaration and Repatriation) Act, 2018 and the Voluntary Declaration of Domestic Assets Act to extend the amnesty schemes for offshore and domestic assets till July 31st of this month.

Over Rs100 billion receipts from declarations under the tax amnesty scheme are expected to provide saving grace to the FBR , which has been struggling to meet its revenue collection targets.

In the financial year 2017-18, the previous government had set a target of Rs4.013 for tax collection purposes.

The tax regulators provisional tax collection of Rs3.77 trillion was higher by 12.2 percent or Rs410 billion compared to FY17.

Nonetheless, the tax regulator had levied regulatory duties to help in rake additional revenue of Rs150 billion.

The rupee’s 15 percent depreciation against the dollar had a favourable impact on the tax collection of around Rs65 billion.

Lastly, a token growth in GDP of around 10 percent should have raised an extra Rs336 billion in the collection.

Economy