KARACHI, Oct 18: The Corporate and Southern regions of Karachi recorded handsome growth of 16 and 14 per cent in revenue collection during the first quarter (July-September) of the current fiscal.

According to the official figures total revenue collection made by the Corporate Region during the period under review showed an increase of 16.24 per cent to Rs8.372 billion compared with Rs7.202 billion collected during the same period last year.

Similarly, the Southern Region collected Rs6.386 billion compared with Rs5.595 billion collected during the corresponding period of last year, showing an increase of 14.12 per cent.

However, official sources believed that the revenue collection figures would further increase as reconciliation for the month of August and September was awaited, which would improve the collection.

The Southern Region also made handsome payments towards refund during the period by disbursing around Rs329.817 million or 40.91 per cent higher than last year’s payment of Rs234.062 million.

Abrar Ahmed, Regional Commissioner of Corporate and Southern Regions, told Dawn that the projected targets could be achieved as more ‘challans’ from out-side station were yet to be received.

He said it was encouraging that presently most of the revenue collection was being made under Universal Self-Assessment Scheme (USAS) and yet there was higher revenue collection. Abrar said that the CBR was strictly following its policy of voluntary compliance and as such declared income and paid tax in the returns was accepted as full and final liability.

However, he urged taxpayers to come forward to discharge their national obligation and pay their due taxes because the CBR under its ongoing reform agenda had not only simplified rules and procedures but reduced interaction between taxpayers and tax collectors.

He said that the major chunk of revenue collection was on account of income tax and after deducting around Rs776.741 million, the net collection of income tax came to Rs8.123 billion compared with Rs7.145 billion in the corresponding period last year.

The corporate region collected Rs359.514 million on creating demand and Rs82.877 million from arrears. A higher collection of revenue was materialized along with returns and stood at Rs528.024 million as against Rs289.836 million collected in the corresponding period last year.

However, there was fabulous increase in withholding tax that stood at Rs7.758 billion compared to Rs7.023 billion recorded in the same period last year. The biggest chunk came from import stage at Rs5.654 billion as against Rs5.399 billion in the corresponding period last year.

Mr Abrar said that in coming years both the regions and Medium Taxpayers Unit (MTU) would ultimately be merged into Regional Tax Offices.

He hoped that with changed environments taxpayers would also cooperate and discharge their national duty by paying their taxes.