FBR achieves 97pc tax collection target in December 2024

ISLAMABAD: The Federal Board of Revenue (FBR) has achieved 97 percent of its tax collection target for December 2024, collecting Rs 1328 billion against the set amount of Rs 1370 billion, ARY News reported.

The Rs 1328 billion collection in December represents a significant increase of 35 percent as compared to November’s tax collection. Furthermore, there was a notable 56 percent increase in tax collection in comparison with December of the previous financial year.

In the first six months of the current financial year, the FBR collected Rs. 5624 billion in taxes, falling short by Rs 385 billion of its target of Rs. 6009 billion.

Earlier it was reported that the Large Taxpayer Office (LTO) Karachi set a new record in tax collection, reporting a 20 percent increase in tax receipts compared to the same period last year.

Reports suggest that, during the first five months of the fiscal year 2024-25, LTO Karachi collected Rs1,110 billion in taxes, a significant rise from Rs924 billion in the corresponding period of the previous fiscal year.

LTO Karachi’s direct tax collection during the first five months amounted to Rs542 billion, up from Rs451 billion in the same period last year, marking a 20pc increase. The office also issued Rs47 billion in refunds over the same period.

Read More: FBR fails to attain tax collection target for November

Indirect and sales tax collection by LTO Karachi saw an 18pc rise, accumulating Rs494 billion in the first five months. This compares to Rs420 billion collected in the corresponding period last year.

The increase is largely driven by higher local transactions, where sales tax collection saw a 30pc jump to Rs203 billion. However, challenges remain in the collection of import sales tax due to a decline in import bills, according to sources from the Federal Board of Revenue (FBR).