SRB recovers Rs100bn in 2018-19, says annual report presented to CM.

KARACHI -- Sindh Revenue Board (SRB) collected Rs. 100 billion, including Rs. 7.13 billion Sindh Workers Welfare Fund and Sindh Companies Profits (Workers' Participation) despite impending collection deficit.

This has been disclosed in the SRB annual report, 2018-19, presented by Chairman SRB Khalid Mahmood to Sindh Chief Minister Murad Ali Shah here on Tuesday. The report says 2018-19 has been a demanding year. Surging current account deficit and exchange and discount rates slowed down the economic growth, exacerbating the challenges faced by tax collection agencies, including the Sindh Revenue Board. Further blow came from suspension of levy of sales tax on cellular phones during the year, pursuant to an order of the Supreme Court of Pakistan.

According to report, despite impending collection deficit, Sindh government took a conscious decision to maintain the standard rate at 13 percent, the lowest in the country. During the year, 2018-19 the SRB collected Rs. 100 billion, including Rs.7.13 billion Sindh Workers Welfare Fund and Sindh Companies Profits (Workers' Participation). Given the overall business sentiment and its effect on tax receipts, SRB's performance was not disheartening.

During the year, services involving port and terminal operators, franchise, banks, insurance, contract execution and construction have remained major contributors, the report says and adds, a noticeable growth of 24 percent was recorded in restaurant and cafe. With an aim to strengthen current operational arrangements and being the evading service-providers to the tax-net, increased focus was laid on unregistered services.

There have been significant changes in human resource in the past year, carefully overseen by the board. A group of 12 auditors - CA finalists with sound professional background were recruited to improve audit function and...