ISLAMABAD: Federal government has reviewed the revenue targets of current financial year (2016-17) and set new revenue target of Rs3521billion for Federal Board of Revenue before it was fixed Rs3621billion.
Government has cut Rs100billion in revenue collection. This was an expected move by the federal government due to heavy shortfall in tax revenue collection during the eleven months of current financial year.
Federal Finance Minister Senator Ishaq Dar has said revenue shortfall’s main reasons are less increase in petroleum prices cost Rs120 billion, zero rated facility for five textile sectors cost Rs30billion and Prime Minister Kisan package cost Rs25billion.
The total effects are around Rs175billion. It is expected that till June 30th end of current financial year, growth in revenue collection is expected 13.1 percent as compared to last financial year’s revenue collection while national non-tax and tax revenue is expected Rs5175billion. He said next financial year tax revenue target has to be set over Rs4.0trillion.
