FBR Starts the Fiscal Year by Exceeding the July Target by a Huge Margin

The Federal Board of Revenue (FBR) has released the provisional revenue collection figures for July 2021.

According to the provisional information, FBR has collected net revenue of Rs. 413 billion during July 2021, which has exceeded the target of Rs. 342 billion by Rs. 71 billion. This represents a growth of about 36 percent over the collection of Rs. 303 billion during the same period last year.

These figures would further improve before the close of the day and after book adjustments have been taken into account. These collections are the highest ever in July. This outstanding revenue performance is a reflection of sustained economic revival spurred by government policies.

On the other hand, the gross collections increased from Rs. 317 billion during this period last year to Rs. 419 billion, showing an increase of 32.1 percent.

The number of refunds disbursed was Rs. 20 billion compared to Rs. 15.7 billion was paid last year, showing an increase of 26.6 percent. This is reflective of FBR’s resolve to fast-track refunds to prevent liquidity shortages in the industry despite facing the challenge of the fourth wave of COVID-19.

Income Tax Returns for Tax Year-2020 have reached 3.53 million compared to 2.72 million in Tax Year-2019 showing an increase of 30 percent. The tax deposited with returns was Rs. 51 billion compared to only Rs. 33 billion last year, showing an increase of 54 percent. According to the information released by FBR, 11,744 Point of Sale terminals have been integrated with the real-time reporting system of FBR.

Pakistan Customs has collected Rs. 67 billion under the head of customs duty during July 2021, whereas during July last year, an amount of Rs. 49 billion was collected, which showed a growth of 37 percent.

During July 2021, smuggled goods worth Rs. 3.6 billion have been seized.

Prime Minister (PM) Imran Khan also commended the Federal Board of Revenue (FBR) for collecting the highest ever tax in July.