Revenue target of Rs 5.1 trillion likely to be set for upcoming Fiscal year

April 22. 2020: Federal Board of Revenue (FBR) is likely to set the revenue collection target at Rs5100 billion for the next fiscal year (2020-21), keeping in consideration the existing and post COVID-19 Corona Virus Pandemic situation.

For the current fiscal year (2019-20), the downwardly reviewed revenue collection target of Rs3, 908 billion would be achieved with the renewal of economic activities, Member FBR, Inland Revenue ( IR)- Policy Dr Hamid Ateeq Sarwar told APP here on Wednesday.

He said that FBR expected to collect Rs500 billion by the April end, however so far it had collected Rs145 billion, and keeping in view this trend the total collections during the month would reach Rs210, he said adding that the COVID-19 had affected the collections.

Replying to a question on recently issued different Statutory Notification (SROs) in current amid COVID -19 scenario, he said that FBR had exempted the 2 percent duty on editable oil as withdrew the duties on pulses, wheat, flour, and sugar items, where he expect the price of these would down by 10 to 15  percent in coming days.

Member FBR, Inland Revenue (IR)- Policy said that the 61 import items had been sent to FBR which was a necessity in the current situation of COVID-19 by Federal Ministry of health, which 19 items included in brand name and in this regards FBR has consulted to the Ministry of Commerce and other concerned ministries and department.

He added that “we reviewed the whole list all 61 items and excluded these 19 items which existed in generic name and not been imported by the government.

Dr Hamid Ateeq Sarwar said that FBR has fully awarded and “we have rejected these items which have the issue of compatibility and quality and FBR has followed the recommendation of Ministry of health in this regard.

 He said that in this regards worth Rs 7 billion items been imported on an emergency basis in the current critical situation.

Replying to another question on relief package to the construction industry and fixed tax issue, he said that FBR had completed all the procedures in this regard after the approval of the ordinance.

Dr Hamid Ateeq Sarwar said that this package was mainly for builders and developers and this relief package would start by December 25, adding that the construction industry can get benefits of this package by September 20, 2022.

He said during this time FBR would ask anyone for the source of money or start any investigation of builders and buyers.

 He said that those who want to launch new housing societies would have to pay 10 percent of the fixed tax to start their business.

 Dr Hamid Ateeq said that the recent decline in petroleum prices was related to demand and supply, adding that the FBR faced a loss of Rs 15 billion in minimization of taxes on petroleum items.

APP