The Regional Tax Office (RTO), Karachi, has surpassed the revenue collection target of Rs 73.8 billion which was set for the fiscal 2006-07 by Rs 1.2 billion. According to provisional statistics made available to Business Recorder here on Wednesday the tax office has crossed the revenue target of Rs 73.8 billion, registering a 22.58 percent increase as compared to Rs 61.18 billion revenue collected in FY06.
The office collected Rs 5.373 billion as advance tax during FY07 against Rs 1.654 billion in FY06, registering a 225 percent increase. The income tax returns filed with the office yielded Rs 3.463 billion against Rs 1.963 billion during FY06, showing a 79 percent growth. Under the 'out of demand' head, the office received Rs 1.78 billion against Rs 1.668 billion in FY06.
The office also issued Rs 4.675 refunds in the last fiscal year which were about Rs 0.379 billion less as compared to Rs 5.072 billion refund in FY06. RTO officials attributed the increase in revenue collection to reforms in the taxation system and facilitation to taxpayers.
They said the Federal Board of Revenue (FBR) had asked the RTO to further enhance efforts towards revenue collection and broadening the tax-base. About the budgetary target, they said the RTO Karachi had been given Rs 84 billion revenue collection target during the current fiscal year.
They said the RTO has evolved a strategy for increasing tax collection and would conduct workshops to highlight the methods and benefits which would accrue as a result of proper e-filing of tax returns. A special cell would be created at the level of RTO to respond to the queries of taxpayers regarding e-filing as well as to view and confirm the data received, they added.