Revenue collection by Karachi Large Taxpayers Unit (LTU) on account of profit on debts from government securities under section 151 of Income Tax Ordinance (ITO) 2001 has shown 133 percent growth during current fiscal year. According to provisional data made available to Business Recorder on Wednesday, the tax department collected Rs 423.29 million on account of profit on debts from government securities during FY 2010-11 against Rs 181.81million made in last year's corresponding period.
The collection made from scrips' trading under section 233A of ITO, 2001 stood at Rs 23.78 million, depicting 43 percent decline as against last fiscal year's Rs 41.71million. The Karachi LTU collected Rs 48.51billion on account of direct taxes during FY 2010-11, surpassing its budgetary target by 9 percent. Moreover, the department collected Rs 522.29million during July 2010 to December 2010 period against dividend income, which was collected at the rate of 10 percent under section 150 of ITO, 2001, showing 31 percent growth as compared to last fiscal period collection.
The department collected Rs 3.99 billion from the sales of edible oil, rice, cotton, seed and other goods and services under section 153 of ITO, 2001 during current fiscal year, portraying 38 percent growth as compared to Rs 2.89 billion of last year.
Around Rs 112.44 million was collected under the heads of non resident royalty/fee for technical services, non resident contractors and other payments to the non resident companies, depicting 35 per cent decline comparatively to the last fiscal period collection of Rs 173.63 million. Phenomenal growth was witnessed in some heads: 67 percent in rentals, 182 percent in other commission, 245 percent in indenting commission in foreign exchange, 25 percent in out of current demand, and 33 percent in returns. However, negative trend was also be seen in some accounts, including out of demands and arrears demand.
The department issued Rs 5.66 billion cash refunds during ongoing fiscal year, depicting 860 percent growth as compared to Rs 589.53 million issued during last fiscal period. The Karachi LTU collected Rs 178.26 billion under the head of sales tax as against Rs 130.084 billion, showing 37 percent growth during current fiscal period. Similarly, the collection made on account of federal excise also increased by Rs 0.79 million as Rs 27.18 billion was collected as against last fiscal period collection of Rs 26.39 billion.