Islamabad, Oct 15: FBR Tax Collection Under Tajir Dost Scheme Falls Short by 99%
FBR Tax Collection Under Tajir Dost Scheme which the International Monetary Fund (IMF) proposed, the Federal Board of Revenue (FBR) has not even come close to collecting the Rs. 1 million tax collection targets for the first quarter of current fiscal year.
The tax machinery has somehow missed out on 99.99 percent of the target, reported Express Tribune. By mid-October, fewer than 600 traders had contributed less than Rs. 1.3 million in taxes. The federal government must collect Rs. 23.4 billion under the FBR scheme in October-December 2024 besides the yearly goal of Rs. 50 billion.
According to the IMF’s most recent report on Pakistan, the total revenue from advance tax paid by shops registered under the Tajir Dost system is the floor on the net tax revenue from those retailers.
Based on cumulative end-of-quarter statistics, net revenue collection is calculated on a quarterly basis. According to the statement, the Federal Board of Revenue (FBR) has set a floor of Rs10 billion for net tax revenues that it will collect from shops as part of the Tajir Dost program for the July–September quarter.
Through the Tajir Dost scheme, the implementation of the Compliance Risk Management (CRM) framework, and the expansion of the Compliance Improvement Plan (CIP), the plan seeks to bring retailers into the tax net. The government anticipates that these revenue management initiatives will bring in Rs. 250 billion.
