FBR faces Rs429bn tax shortfall from July to February

The Federal Board of Revenue (FBR) has recorded a tax shortfall of Rs429 billion between July and February, including an Rs85 billion revenue gap in February alone.

According to official documents, the cumulative shortfall for the July–February period has reached Rs457 billion. In February, the FBR collected Rs944 billion in taxes against a target of Rs1,029 billion. Around Rs47 billion in refunds were issued during the month.

Overall, Rs386 billion in refunds were paid out between July and February. In February, net income tax collection stood at Rs443 billion, while net sales tax amounted to Rs336 billion. Net customs duty collection reached Rs99 billion, and Rs67 billion was collected under the federal excise duty (FED) head.

During the July–February period, the FBR collected a total of Rs8,121 billion in taxes against a target of Rs8,550 billion. Refunds during this period totalled Rs386 billion.

Sales tax collection stood at Rs2,783 billion against a target of Rs3,028 billion, resulting in a shortfall of Rs245 billion.

Income tax collection reached Rs3,956 billion compared to a target of Rs4,098 billion, leaving a shortfall of Rs142 billion.

Customs duty collection totalled Rs850 billion against a target of Rs898 billion, reflecting a gap of Rs48 billion. However, federal excise duty collection exceeded its target, with Rs532 billion collected against a target of Rs526 billion.

Officials stated that tax revenue growth during the July–February period exceeded 11 per cent. The FBR collected Rs787 billion more than the same period last year, making efforts to outpace economic growth and inflation in revenue mobilisation.