ISLAMABAD: A careful estimate by Federal Board of Revenue (FBR)
reveals that this year revenue targets may fall down considerably to Rs
100 billion due to deteriorating law and order situation in Karachi.
The
source told Online on Sunday that Karachi, which is the financial hub
of the country gives total 70 percent of the revenue. The estimate of
FBR also disclosed that atleast four to five billion rupees of revenue
is collected from Karachi per day expect closed days.
The
sources said that the state of affairs at Karachi is crystal clear so
it seems almost impossible to fulfill the revenue targets. Besides
immense financial loss, the failure of provincial and federal
governments to overcome the situation in Karachi is causing defamation
of Pakistan among comity of nations.
The source told this
scribe that Ministry of Finance has made it clear to the President Asif
Zardari, Prime Minister Yousaf Raza Gillani, Finance Minister Abdul
Hafeez Sheikh, federal cabinet and parliament about the gravity of the
matter. It also issued warning if the revenue target could not be met ,
then the conflict on the issue of sale tax between federation and
proveniences particularly government of Sindh could be intensified.
Beside this, the tax to GDP ratio could also be further plunged down
and by virtue of that getting of foreign debts as well as aid would be
more expensive and difficult.
US administration already
criticized over less tax to GDP ratio whereas World Bank and IMF have
also kept close eye on Pakistan’s revenue.
It is pertinent to
mention here that almost Rs 4.3 billion collects form Karachi on daily
basis, whose makeup is not possible from anywhere . Last year the
target of Rs 1550 bn was achieved when the target revenue was Rs1590
billion. It looks like that the revenue target would also reduced this
year also. Online
