FBR to release collection figures after IMF nod

ISLAMABAD: The International Monetary Fund (IMF) has barred Pakistani authorities from releasing any provisional revenue collection figures of the first quarter (July-September) period to the media and asked the FBR to share revenue collection with the Fund staff first.

The FBR will first share the revenue collection of the first quarter with the IMF probably on Tuesday night and then the official figures will be released to the media on Wednesday (today) or Thursday (tomorrow).

Meanwhile, the IMF did not share its response on the proposed changes in the Tajir Dost Scheme (TDS) for retailers.

Top official sources confirmed to The News on Tuesday that the FBR faced a shortfall of Rs96 billion in achieving the agreed tax collection for the first quarter of the current fiscal year. The tax-wise breakup shows that the FBR’s collection in September stood at Rs1,103 billion against the fixed target of Rs1,098 billion out of which the FBR made a collection of Rs585 billion in the shape of Income Tax, Rs342 billion as Sales Tax and Rs73 billion as Federal Excise Duty (FED). In the shape of Customs Duty, the FBR collected Rs103 billion in September 2024.

Despite slapping Rs1,800 billion in additional taxes in the budget for 2024-25, the FBR faced a revenue shortfall of Rs96 billion for the first quarter of the current fiscal year.

The FBR has planned a tax collection target of Rs2,652 billion for the first three months of the current fiscal year but so far the collection stood at Rs2,556 billion.

On the Rs2,652 billion target, the IMF had made it clear that if the revenue shortfall exceeded 2 percent in achieving the agreed target, then additional taxes might have to be levied during the current fiscal year.

The IMF has not yet conveyed the lists of tax measures but the Fund identified the possibility of hiking rates of withholding taxes in case of contingency plan after witnessing slippages on the revenue front. The IMF might also consider possible missing out non-tax revenue, especially in the case of non materialisation of petroleum levy during the current fiscal year and on account of other heads.

Pakistani authorities claimed that they would make all out efforts to convince the IMF for not presenting any money bill in the shape of mini budget. However, law changes would be introduced in the shape of promulgation of ordinance or presenting tax amendment bill for empowering tax authorities to take stern action against tax dodgers such as freezing of bank accounts and ban on purchasing property and vehicles.