FBR has to collect Rs 377 billion this month to meet Q1 target

ISLAMABAD: The Federal Board of Revenue (FBR) has to collect Rs 377 billion in September 2020 to meet the ambitious revenue collection target of around Rs 970 billion set for the first quarter (July-September) of 2020-21. Sources told Business Recorder here on Monday that the revenue collection target for the month of September has been fixed at Rs 419 billion.

The target for July was fixed at Rs 243 billion and August Rs 308 billion. The quarterly target for July-September 2020-21 has been fixed at nearly Rs 970 billion to meet the annual revenue collection target of Rs 4,963 billion for current fiscal year.

The tax machinery has provisionally collected Rs 593 billion during first two months of current financial year (July-August-2020) against the assigned target of Rs 551 billion, reflecting an increase of Rs 42 billion.

Against the assigned revenue target of Rs 551 billion, FBR has collected Rs 593 billion thus showing an increase of Rs 42 billion and 108 percent of the assigned target. The revenue collection in the first two months of previous year 2019-20 was Rs 582 billion whereas it is increased to Rs 593 billion this year.

In July 2020, the FBR has collected Rs 300 billion against the assigned revenue target of Rs.243 billion, overshooting the target by a staggering Rs 57 billion. Thus, the FBR has collected Rs 293 billion during August 2020 against the monthly target of Rs 308 billion, reflecting a shortfall of Rs 15 billion, sources added.

The government had fixed Rs4,963 billion as revenue collection target of the Federal board of Revenue (FBR) for 2020-21 against the revised target of Rs3,908 billion for 2019-20, reflecting an increase of Rs1,055 billion.

According to the break-up of tax projections for 2020-21, direct taxes target was set at Rs2,043 billion for 2020-21 against Rs1,623 billion revised target for 2019-20, showing an increase of Rs420 billion.

Indirect taxes projections were set at Rs2,920 billion for 2020-21 against the revised target of Rs2,285 billion for 2019-20, showing an increase of Rs635 billion.

Copyright Business Recorder, 2020