ISLAMABAD: The government increased levy on petroleum products to get additional Rs 4 to Rs 5 billion through consumption of two major products diesel and petrol, the reports said here Monday.
According to the details, the government increased Rs7.05 to Rs25.05 per litre on Diesel and increased Rs4.75 to Rs19.75 per litre on petrol while Rs6.33 to Rs12.33 levy was increased on per litre Kerosene. Likewise, Rs1.94 to Rs4.94 was levied on per litre Light Diesel.
On other hand, the government had promised with the International Monetary Fund (IMF) to increase non-tax revenues in order to compensate the revenue shortfall being faced by the Federal Bureau of Revenue (FBR).
The reports suggest that the IMF will approve the third tranche worth $450 million under $6 billion Extended Fund Facility (EFF).
The initial target of the FBR was Rs5.555 trillion which was revised downward to Rs5.238 trillion on the eve of first review with approval of Advisor to PM on Finance Dr Abdul Hafeez Shaikh and Governor State Bank of Pakistan (SBP) Dr Reza Baqir.
FBR’s shortfall stands at Rs325 billion in the first eight months against the revised target and the FBR will have to collect Rs 252 b in the remaining four months from March to June to achieve the set target. Non-tax revenues have been proposed to achieve the target and to save the IMF programme. The revised target, according to the reports, relied heavily on State Bank of Pakistan’s profit and increased tax on petroleum levy.
