Balochistan exceeds tax collection target

balochistan-exceeds-tax-collection-target

Balochistan exceeds tax collection target ISLAMABAD: The revenue collection in Balochistan for the first quarter of 2016-17 surpassed its target by 30.65 per cent.

“This clearly shows that tax culture is developing in the province,” a customs official of the Federal Board of Revenue (FBR) told Dawn on Thursday.

Data shows the revenue collection by the two model customs collectorates in Balochistan was Rs7.49 billion in July-September as opposed to the target of Rs5.73bn for the same period.

The tax official said growth in the revenue collection is reflective of better enforcement activities in the province. As a result, smuggling of goods in the first quarter of the current fiscal year witnessed a notable drop.

All smuggling-prone items, like POL products, are now regularly imported through the collectorates, the official said, adding that the volume of regular imports has also increased during the first quarter.

The revenue collection by the model customs collectorate in Quetta surpassed its target for the quarter by 8pc. It amounted to Rs2.84bn in July-Sept as opposed to the target of Rs2.63bn for the same period.

The customs collection reached Rs853.39m during the period under review as opposed to the target of Rs860m.

In contrast, the sales tax collection for the quarter surpassed its target by 19.25pc. Its collection reached Rs1.49bn as opposed to the target of Rs1.25bn for the same period.

The withholding tax collection missed its target of Rs496m by clocking up at Rs447.44m for the quarter. The collection of federal excise duty stood at Rs50.35m against the target of Rs26m.

The improvement in the revenue collection by the Quetta model customs collectorate is because of an increase in the imports of petro chemicals, scraps etc. A 10pc customs duty is also being collected on the import of fresh and dried fruits from Afghanistan at Chaman customs stations.

The model customs collectorate in Gwadar surpassed its revenue collection target by 49.87pc in the three-month period. It amounted to Rs4.65bn in July-Sept against the target of Rs3.1bn for the same period.

A tax-wise breakup shows the collectorate collected Rs1.14bn as customs duty during the period under review against the target of Rs828m for the same period.

The sales tax collection reached Rs3.15bn against the target of Rs1.89bn, reflecting an outperformance of 66.14pc. The withholding tax collection stood at Rs360.55m against the target of Rs379m for the same period, showing an underperformance of 4.87pc.

The collection of the federal excise duty stood at Rs0.63m during the period under review against the target of Rs0.07m for the same period.

The model customs collectorate in Gwadar, which was established in 2011, has shown improvement in the revenue collection. Major revenue spinners for the collectorate are an oil refinery and the ship-breaking industry at Gadani along with imports from Iran.

Source: http://www.dawn.com/news/1288418/balochistan-exceeds-tax-collection-target-by-31pc

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