ISLAMABAD (Dunya News) – Federal Board of Revenue (FBR) has released the revenue collection information of first two months of current financial year i.e. July & August-2020.
According to the released information, against the assigned revenue target of Rs.551 billion, FBR has collected Rs.593 billion thus showing an increase of 42 billion and 108 percent of the assigned target. The revenue collection in the first two months of previous year 2019-20 was 582 billion whereas it is increased to 593 billion this year.
To redress the hardships of the business community caused by Covid-19, refunds to the tune ofRs.30.6 billion have been disbursed collectively in the first two months of FY-2020, as compared to refunds of Rs.11 billion during first two months of FY-2019.Sales Tax refunds are being issued under centralized and automated system called FASTER which is clearing refunds to exporters within 72 hours for the first time as committed by the Government.
FBR is also engaging with trade and industry to mitigate their genuine grievances. FBR is proactively reaching out to Trade and Industry and resolving their issues. FBR has also launched an unprecedented crackdown on corruption dismissing and suspending 76 officers and officials since July 2020.
In post COVID-19pandemic scenario, the economic activities are now being revived through multiple economic stimuli and reliefs granted in the budget FY-2020-21. Hectic efforts were put up by Customs field formations in respect of collection of duty and taxes which was otherwise a daunting task owing to post COVID-19pandemic economic constraints, Muharram’s holidays and heavy rain fall in Karachi which is the epicenter of country’s revenue collection. This heavy rainfall badly affected the customs clearance of imported cargo during the last week of this month and resultantly the revenue collection.
According to the official figure, total customs duty collected during first two months of current FY-2020 is Rs. 92 billion. Sales tax collection at import stage is on lower side as compared to the corresponding period of the previous year owing again to heavy rain fall in Karachi. Furthermore, exemption granted in respect of Additional Customs Duty (ACD) on more than 1600 tariff lines in budget FY2020-21, also subsequently resulted into decrease in sales taxable value.
In line with the vision and directives of the honorable Prime Minister of Pakistan to curb the menace of smuggling, the Federal Board of Revenue (FBR) vigorously launched a countrywide counter-smuggling drive. The FBR accordingly directed its field formations to make all out efforts to intensify anti-smuggling activities.