The Federal Board of Revenue (FBR) has collected over Rs. 960 billion during the first quarter (July-September) of 2019-20, which is 90% of the target for the quarter said Syed Shabbar Zaidi, Chairman FBR on Monday.
FBR's collection increased by 14.83% as compared to Rs. 836 billion in the same period of 2018-19.
The revenue collection during September 2019 stood at Rs. 380 billion compared to Rs. 323 billion in September 2018, showing a growth of 17.64 percent.
However, according to the reports, FBR has missed a quarterly target of Rs. 1,071 billion, reflecting a shortfall of Rs. 111 billion.
The board has received over 0.4 million income tax returns till September 30, 2019, compared to 0.350 million returns filed in the same period of last financial year. It had collected Rs 580 billion in the first two months, July and August, of 2019.
FBR blames import compression for this revenue shortfall, as well as negative growth in Customs Duty and Income Tax.
The net impact of import compression caused net revenue loss to the tune of Rs. 100 to Rs. 150 billion. We have already informed the government about the reasons that seriously impacted FBR's revenue collection during July-September 2019-20, said an official of the FBR.
The revenue collection of Inland Revenues on account of income tax, sales tax on domestic consumption (local stage) and Federal Excise Duty (FED) achieved 25 percent growth but the negative growth on imports has had serious negative implications on the revenue collection, he added.
According to the source, the customs duty and income tax at import stage witnessed negative growth; however, the sales tax at import stage achieved slight positive growth owing to government's decision to charge sales tax on the basis of the retail price. The policy measures and the administrative steps helped FBR collect more revenue through sales tax at the import stage.
FBR Extends the Deadline to File Income Tax Returns for 2019
The board has extended the deadline to file income tax returns and statements for the tax year 2019, according to a circular released on Monday, revising it from September 30 to October 31.
The notification said that the people who, as of September 30, failed to file their income tax returns/statements are hereby allowed to file their returns/statements by 31st October 2019.
It added that companies that, as of September 30, failed to file their income tax returns/statements, though have paid ninety-five percent of the admitted tax liability, are hereby allowed to file their returns/statements by 31st October 2019.
Source: Pro Pakistani