ISLAMABAD: The Federal Board of Revenue (FBR) collected Rs2.346 trillion in July-April 2015-16 as against Rs1.973tr in the previous year, reflecting a growth of 19 per cent.
The collection was well below government’s projected revenue collection target of Rs3.103tr for FY16. The government also claims to increase the tax-to-GDP ratio to 11.3pc by FY18 from the current 9.4pc.
The break-up of the revenue figures showed collection of direct tax grew 14pc during the 10-month of the outgoing fiscal year to Rs888 billion from Rs775.9bn a year ago.
The bulk of the tax revenue under direct tax was realised from income tax, whose major components were withholding tax, voluntary payments and collection on demand.
The net collection of indirect taxes, which accounted for 62pc of total FBR tax revenues during the period under review, rose 21.7 pc year-on-year.
Within indirect taxes, a net collection of sales tax increased 20pc to Rs1.013tr in 2015-16 as against Rs843.3bn in the preceding year. In fact, around 46.2pc of total sales tax was contributed by the domestic sector.
A major contribution to net domestic sales tax collection came from POL products, fertilisers, natural gas, cement, other services, electrical energy, beverages, cigarettes, tea, sugar and iron and steel. On the other hand, the collection of sales tax on imports was mainly contributed by POL products, plastic, edible oil, vehicles, machinery, chemicals and oilseeds.
Customs duty collection grew 32.5pc to Rs311.1bn from Rs234.8bn last year.
The major revenue spinners of customs duty were automobiles, edible oil, petroleum products, machinery, plastic, iron and steel, and paper and paperboard.
The collection of federal excise duty (FED) during July-April FY16 went increased 11.5pc to Rs133.4bn from Rs119.6bn during the same period of FY15. The major revenue spinners of FED were cigarettes, cement, beverages, natural gas and international travel.
Published in Dawn, June 3rd, 2016