ISLAMABAD-Finance Minister Ishaq Dar on Wednesday expressed hope that Federal Board of Revenue (FBR) would achieve the revised annual revenue target of Rs7,640 billion despite economic challenges.
In a tweet, the finance minister said that FBR has achieved revenue target for Feb 2023 by collecting Rs 527.2 billion, registering growth of 17% compared to same month last year. “Cumulatively, FBR has collected Rs 4,493 billion in first eight months of CFY23 against Rs 3,820 billion in the corresponding period last year depicting year-on-year growth of 18%. FBR continues to show impressive performance during third quarter of CFY23 which displays its commitment towards achieving revised annual budgetary revenue target of Rs. 7,ww640 billion despite economic challenges”. Meanwhile, according to FBR, it has once again demonstrated great revenue collection performance during February 2023, despite difficult economic situation. According to provisional figures, FBR collected Rs. 527.3 billion against the target of Rs. 527 billion during the month of February 2023, exhibiting a growth of 16.3% compared to the same month last year.
Cumulatively, FBR has collected Rs 4,493 billion in the first eight months of the current financial year against Rs. 3,820 billion collected in the corresponding period of last year, depicting a year-over-year growth of 18%. FBR continues to show impressive performance during the third quarter of the current financial year which displays its unwavering commitment towards achieving the revised upward annual budgetary target of Rs. 7,641 billion despite economic challenges. As per the provisional data, direct tax collection grew at a robust pace of 47% during the first eight months of the current financial year which is reflective of government’s policy of making taxation progressive and equitable through shifting tax burden towards society’s wealthy and affluent segments. This consistent growth in direct taxes, particularly those from domestic sources, is, in large part, due to administrative and enforcement measures of the FBR. The contribution of domestic taxes has increased from 49.4% last year to 58.7% during the current year, pointing towards the success of policies aimed at reducing reliance on import duties and taxes.
Furthermore, it is also significant that the collection from Customs Duty has shown an increase of 2% during the month of February 2023 compared to the same month last year. FBR has also stayed on top of addressing exporters’ liquidity needs through issuance of Rs. 235 billion in refunds during the first eight months of the current financial year as against Rs.198 billion during corresponding period of last year-a year-over-year increase of 19%.
FBR sincerely appreciates all those taxpayers who diligently fulfilled their national duty of paying due taxes. This would go a long way in achieving the budgetary target and also lauds the endeavors of all field formations and its officers for their untiring efforts and commitment to optimize revenue collection in challenging economic situation. This growth in tax revenues, especially direct taxes, underscores the resolve of the Government and FBR to make Pakistan a thriving, resilient and self-reliant nation which has the will and capacity to withstand the current economic challenges.