KARACHI: Sindh’s revenue from provincial taxes jumped by over 20 per cent to Rs32.40 billion during the outgoing fiscal year (2013-14) from Rs26.84bn last year.

The data released by the Excise and Taxation Department shows that the highest jump (25.2pc) was recorded in Motor Vehicle Tax which rose to Rs4.50bn from Rs3.59bn in the previous year.

Remarkable performance was noticed in collection from property tax in the fiscal year 2013-14 which increased by 24pc to Rs1.83bn from Rs1.48bn earlier.

Sindh revenue collection jumps by 23pc

The infrastructure cess charged on goods landing at Karachi ports and the airport lagged behind Motor Vehicle Tax and fetched only Rs4.50bn which was, however, 19.7pc up compared to last year.

Collection from the professional tax which is a progressive levy remained confined to only Rs296m this year against Rs262m earlier. Excise duty contributed Rs3.69bn against Rs3.08bn earlier.

Cotton fee charged on ginned cotton bales stood at Rs153m against Rs143m earlier. Entertainment duty was at meager Rs44m during the period under review against Rs33m last year.

Excise and Taxation Secretary Abdul Majeed Pathan said that the province has embarked upon a modern tax system which prompted the World Bank to introduce tax reforms to generate greater revenue from the sprawling property tax and a progressive professional tax.

*Published in Dawn, July 20th , 2014 *