Revenue collection by the National Board of Revenue fell short of target by Tk 3,184 crore in the first quarter of the current fiscal year mainly due to a slower growth in the collection of income tax and customs duty in the period.
According to the NBR statistics presented to the finance ministry, taxmen managed to collect Tk 35,441 crore in the July-September period of FY17 against the collection target of Tk 38,625 crore for the period.
Though all three wings — income tax, customs duty and value-added tax — of the revenue board faced shortfall in the July-September period of the fiscal year, the overall revenue collection posted a moderate growth at 13.9 per cent in the period compared with that of the same period of last fiscal year.
Officials of the finance ministry said that the overall performance in revenue collection in the first quarter was quite satisfactory as revenue earnings usually remained comparatively slower in the initial months of a fiscal year.
Revenue earnings get momentum in the second half of a fiscal year, they said.
NBR officials are also hopeful that revenue mobilisation would increase from November and onwards as individual income taxpayers
would pay their taxes in November and corporate taxpayers would pay their second instalments of advance taxes in December.
The overall business activities including the government’s development budget expenditure would also get momentum in the second half of the fiscal year, they said.
The customs wing faced the biggest deficit in collection — Tk 1,760 crore — in the three months as it collected Tk 10,702 crore in import and export duties in the period against the target of Tk 12,462 crore.
The income tax collection faced the second highest shortfall — Tk 1,244 crore — in the July-September period followed by VAT collection by Tk 180 crore.
The income tax collection stood at Tk 10,690 crore in the period against the target of Tk 11,934 crore, according to the NBR data.
The VAT wing managed to collect Tk 14,049 crore in the three months against the target of Tk 14,229 crore for the period, the data showed.
In the July-September period, customs duty collection grew by 15.74 per cent followed by income tax by 9.8 per cent and VAT by 9.3 per cent.
The overall revenue collection growth, however, is far below the annual growth target.
The revenue board will have to achieve a growth of 30.63 per cent compared with the revenue earnings of last fiscal year to meet the target set for the current fiscal year.
The government has set a target of revenue collection at Tk 2,03,152 crore for the current fiscal year.
In last fiscal year, the NBR collected Tk 1,55,518 crore in revenue against the revised target of Tk 1.50 lakh crore.
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