Excise Duty Collection Increased by 56% in 2023-24

The Federal Excise Duty (FED) collection during 2023-24 has witnessed an overall growth of 56.1 percent due to an increase in FED rates on cigarettes during the last fiscal year. According to the FBR’s data for 2023-24, the FBR has achieved the target of Rs. 9,252 billion during 2023-24 and collected Rs. 9,311 billion, reflecting an achievement of 100 percent target. Tax-wise breakup revealed that direct taxes witnessed a growth of 36.5 percent; sales tax (19.5 percent); FED growth of 56.1 percent and customs duty witnessed a growth of 30 percent during 2023-24. The income tax collection stood at Rs. 4,531 billion during 2023-24 as compared to Rs. 3,270 billion in 2022-23, reflecting an increase of Rs. 1,261 billion. The sales tax collection amounted to Rs. 3,099 billion during 2023-24 against Rs. 2,593 billion in 2022-23, showing an increase of Rs. 506 billion. The collection of customs duty amounted to Rs. 1,104 billion during the period under review as compared to Rs. 931 billion in 2022-23, reflecting a growth of Rs. 173 billion. The FED stood at Rs. 577 billion during 2023-24 as compared to Rs. 370 billion in 2022-23, reflecting an increase of Rs. 208  billion. The FBR data (2023-24) further revealed that the income tax target has been achieved by 121.8 percent; sales tax (85.9 percent); FED (96.2 percent) and customs duty target has been achieved by 100.6 percent.