Minister of State for Finance, Dr. Aisha Ghaus Pasha, was briefed by the Federal Board of Revenue (FBR) that revenue of Rs. 621 billion in each May and June is required to meet the target of Rs. 6.1 trillion for the current fiscal year.
On Wednesday, Dr. Aisha visited the FBR Headquarters and received a comprehensive briefing on the current status of revenue collection and strategy to meet the revised target of Rs. 6.1 trillion. She met FBR Chairman Asim Ahmad and his team members at the FBR House.
Dr. Aisha directed the Federal Board of Revenue (FBR) to intensify efforts to meet the revised tax collection target of Rs. 6.1 trillion at any cost by the end of the current financial year.
The FBR informed the minister that the recovery from telecom companies, power companies, and other large cases would also play an important role in achieving the tax collection target. The major revenue spinners and loss of Rs. 45 billion revenue in April 2022 due to zero percent sales tax on petroleum products was also mentioned during the briefing. The FBR also shared the figures and data of sales tax collected from the mini-budget and other sources of revenue collection.
The revenue impact of Sales Tax exemptions provided to Fertilizers, Pesticides, Tractors, Vehicles, and Oil & Ghee comes to Rs. 18 billion per month. Similarly, zero-rating on pharmaceutical products has cost FBR Rs. 10 billion in Sales Tax during April 2022. Thus, in aggregate, these relief measures have impacted revenue collection by approximately Rs. 73 billion during April 2022, FBR said.
The minister also informed that the FBR collected net revenue of Rs. 4,858 billion during July 2021-April 2022 of the current Financial Year 2021-22, which has exceeded the target by Rs. 239 billion. This represents a growth of about 28.6 percent over the collection of Rs. 3,778 billion during the same period last year. The net collection for April 2022 realized Rs. 480 billion representing an increase of 24.9 percent over Rs. 384 billion collected in April 2021.