ISLAMABAD: The Federal Board of Revenue (FBR) has faced a tax shortfall of Rs129 billion during the first four months of the current fiscal year, from July to October, despite recording a 7% increase in tax collection compared to the same period last year.
According to sources, the FBR collected Rs4,088.2 billion in taxes between July and October, against the target of Rs4,217 billion set for the period.
Officials said the revenue authority has been assigned a tax collection target of Rs15,264 billion by June 2027. To achieve this target, the FBR will need to maintain a growth rate of 17%.
Sources said the FBR collected Rs1,002 billion in taxes during October, while an additional Rs27 billion was collected on the last day of the month, October 31. The board had received 7.6 million income tax returns by October 31.
Meanwhile, the retailers’ fixed tax scheme has also failed to deliver the desired results. According to officials, only 1,750 retailers registered under the scheme out of an estimated 3.6 million potential non-filer retailers, while just 220 new taxpayers submitted their tax returns.
Sources said the FBR had set a tax collection target of Rs50 billion under the retailers’ scheme.
Officials further said the FBR has decided to impose fines on non-filers. Under the proposed penalty structure, non-filers could face a fine of Rs10,000 in the first month, Rs25,000 in the second month and Rs50,000 in the third month.
The FBR also has the authority to seal business premises of retailers who fail to become part of the tax net.
