In late night good news for individual and industrial tax filers, the Federal Board of Revenue (FBR) extended the deadline for filing tax returns by a month.
In a post close to midnight on its X account, the Board wrote that it was taking the decision to extend the last date for filing tax returns to October 31, 2023 at the demand of trade bodies and various tax bar associations.
In view of the demand of trade bodies and various tax bar associations, it has been decided that the date of filing of income tax return for Tax Year 2023 is extended to *31st October, 2023*. However, no further extension for filing of said return shall be granted.
— FBR (@FBRSpokesperson) September 30, 2023
The previous deadline was September 30, and the FBR had categorically announced that the date was not being extended. However, in a late night decision, it decided to give in to the various demands.
However, it also stressed in the latest post that no further extension for filing of tax returns would be granted.
On Thursday, the Board had directed all its field formations to facilitate the taxpayers in filing their returns since the last date for filing them was not being extended.
Since last date of filing of Returns is not being extended, FBR directs all Inland Revenue Commissioners to facilitate taxpayers in filing Returns and granting extension on case by case basis.
— FBR (@FBRSpokesperson) September 28, 2023
On Wednesday, tax bar associations, chartered accountant firms, and tax experts had formally requested the FBR to push the deadline for filing income tax returns to October 31 citing technical and legal challenges.
Tax collection target exceeded
On the other hand, in the first quarter of the current financial year, the FBR claimed to have exceeded its tax collection target by Rs63 billion.
Sharing details of its tax revenue collection in the first quarter of the current fiscal year, the Board said it collected Rs2,041 billion against the assigned target of Rs1,978 billion, crossing the target by Rs63 billion.
For the first quarter of current financial year, FBR has collected Rs. 2,041 billion (2022: 1644 billion) against the assigned target of Rs. 1,978 billion thus exceeding the target by Rs. 63 billion. 1/4
— FBR (@FBRSpokesperson) September 30, 2023
In the same period last year, the tax collected was Rs1,644 billion.
Moreover, FBR also achieved its revenue target for the month of September 2023, as against the target of Rs794 billion, it was able to collect Rs834 billion. The amount collected during the same period last year was Rs688 billion.
It also issued refunds amounting to Rs37 billion compared to the Rs18 billion issued in September last year.
In the first quarter this year, the growth in tax revenue has been recorded at 24.17%.
Due to severe import compression during the month of Sept, 2023,taxes at import stage were collected at only Rs.254 billion whereas it was Rs.299 billion during the previous month.FBR was able to bridge shortfall of Rs.45 billion through domestic taxes especially direct taxes.3/4
— FBR (@FBRSpokesperson) September 30, 2023
The month of September also saw a sharp decline in imports and under the head of import taxes, only Rs254 billion were collected, whereas the amount was Rs299 billion during the previous month.
The FBR made up for the shortfall of Rs45 billion through domestic taxes, especially direct ones.
