The Federal Board of Revenue (FBR) shared comprehensive tax-related revenue data for the initial quarter (July-September) of 2023-24 with the International Monetary Fund (IMF). The sources revealed that the FBR engaged in detailed discussions with an IMF staff-level mission, headed by its Mission Chief. FBR Chairman Amjad Zubair Tiwana led the FBR team, presenting insights on revenue collection specifics, withdrawal of tax exemptions, ongoing tax reforms, and the expansion of the tax base.
Notable attendees from the FBR included Members of Inland Revenue and Customs (Policy), alongside Members of Customs and IR (Operations).
In the discussions, the FBR provided an overview to the IMF regarding income tax, sales tax, customs duty, and Federal Excise Duty (FED) for the mentioned quarter. The meeting also delved into the status of sales tax and customs duty at the import stage.
The FBR disclosed its active efforts in formulating strategies aimed at enhancing domestic compliance and enforcement, aiming to bridge anticipated revenue shortfalls from the import stage in the forthcoming months. It was affirmed to the IMF that no new tax exemptions or amnesty schemes were introduced during the first quarter of 2023-24.
The FBR reported provisional collection figures, indicating that it amassed Rs2,748 billion during the initial four months (July-October) of 2023-24, surpassing the assigned target of Rs. 2,682 billion by Rs. 66 billion.
In October 2023, the FBR collected Rs. 707 billion, exceeding the target of Rs. 705 billion by Rs. 2 billion, marking the fourth consecutive month of meeting revenue collection goals with 43% domestic and 37% overall growth.
The revenue collection from July to October 2023 reached Rs. 2,748 billion, exceeding the designated target by Rs. 66 billion. This demonstrates a substantial increase compared to the same period in 2022-23, with a notable increment of Rs. 589 billion from Rs. 2,159 billion.
Additionally, the FBR disbursed refunds amounting to Rs. 158 billion during the first four months of 203-24, as opposed to Rs. 113 billion in the corresponding period of the previous year.
