CBR may achieve Rs 214 billion income tax target

The Central Board of Revenue (CBR) is expected to achieve the target of collecting Rs 214 billion in terms of income tax as business environment was improving for the last two years taking the income tax collection 27.5 percent higher up to March 31.
Member Income Tax CBR Salman Nabi made these remarks and added that CBR had collected Rs 165 billion in 2004, Rs 185 billion in 2005 and probably would achieve the current year target of Rs 214 billion as income tax.
He was addressing and replying to questions of the members of Hyderabad Chamber of Commerce and Industry (HCCI) late on Friday night at chambers secretariat. Salman Nabi said that the reason for achieving and continuous increase in income tax collection was outcome of the business friendly atmosphere as businesses are being done well. Therefore, he explains that the refunds were also being paid on time to the taxpayers as 30 percent of refunds were paid up to March 31, 2006. The Member Income Tax said that improvement is coming in the economic sector of the country, and the atmosphere would continue to improve to expand the tax network.
About filing of income tax returns, the CBR official said that all 150 million peoples of the country are taxpayers adding that 0.5 million taxpayers filed their returns in 2003 and over 1.2 million taxpayers filed their returns during previous years and target of 1.5 million for current fiscal is about to achieved and 1.3 million returns have been filed in three quarters up to March 31, 2006.
Salman Nabi said that the income tax returns filers number rose up to 40 percent in just two years after reforms took place in the Central Board of revenue (CBR).
He informed that Prime Minister Shaukat Aziz takes great interest in the economic affairs of the country and evaluates the performance within three months and gives targets and checks the progress.
He said that number of taxpayers filing their returns is rising gradually adding that brochures are being published for improving the tax education in the country.
The Member Income Tax said that imports and surpassing the exports in the country despite 6 percent of withholding taxes and 68 percent of items have been declared as tax exempted, while zero percent on smuggling and only one percent of items including surgical, sports, textile, leather and cutlery.
He told HCCI members that taxpayer's appeals are being addressed timely and the number of commissioner was also reduced to 16 against 32.
The CBR official said that taxpayer's facilitation is the prime responsibility of the income tax officials and added that the performance of CBR would further improve with passage of time.