Islamabad: Federal Board of Revenue (FBR) missed its collection target by Rs 430 billion or 6.47 percent to Rs 6.21 trillion for first 11 months of fiscal year 2023 (11MFY23) against target of Rs 6.64 trillion, leaving behind huge shortfall to plug in month of June to achieve annual target. Tax authorities, however, recorded 16 percent growth of over Rs 5.37 trillion collected in July-May FY22. Revenue collection saw steep decline in imports as well as poor Sales Tax performance, showed provisional data.

Revenue collection stood at Rs 572 billion in May against target of Rs 621 billion, showing shortfall of Rs 49 billion. This reversal of trend will make it daunting task for FBR field formations to make huge recovery in last month of June to achieve annual target.

However, May’s collection posted 15.5 percent growth compared to last year’s Rs 495 billion. Few more billions may come to government kitty when book adjustments are made in next few days. Growth is much below what government had committed to International Monetary Fund to achieve projected target of Rs 7.47 trillion for FY23. An official announcement of FBR said that refunds amounting to Rs 33 billion were issued in May.

Published in The Daily National Courier, June, 02 2023

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