Mettis Global News
Mettis Global News
Mettis Global News
Mettis Global News

CPI Preview: Inflation to fall below 14% YoY in May

FBR works out plan to increase Sales Tax registrations up to 0.4 million people in 3 years

Share on facebook
Share on twitter
Share on linkedin
Share on whatsapp

Aug 20: The Federal Board of Revenue (FBR) Tuesday set the target to mount Sales Tax Registration (STN) upto 400,000 people in next three years to eventually boost revenue collection and documentation of economy.

“Around 250,000 people are already registered with FBR’s sales tax net, however only 41,000 were paying the sales tax, which is very low,” said Member, Inland and Revenue (Policy) FBR, Dr Hamid Ateeq Sarwar at the launching ceremony of digital app ‘Tax Assan’. He was accompanied by Member Information Technology (IT) Mehmood Aslam.

Dr Hamid Ateeq said that the FBR could improve performance of sales tax by ensuring the collection from manufacturing and retailers. “We have 100 percent coverage from import sector and the Board has been working on manufacturing and potential retail sector to increase its sales tax base,” he added.

He said the FBR would mainly be focusing 4000 big store of different brands, including the clothes and shoes to bring them into tax net.He added that these brands were allowed to get only 14 percent sales tax from their customers on collection and advised customers to check Sales Tax Number (STN) before paying for their products.

Highlighting the main features of the digital App, the Member Inland Revenue and Policy said that it was being introduced for improving the system according to the international standards to facilitate the taxpayers, adding it would have on-the-spot 5 percent payback facility for customers at retail shops.

He said, through this App, the customers would automatically be informed about the sales tax deduction by FBR, adding this App would facilitate them to know about registered shops and brands.

The member said that the FBR had initiated automation process through use of modern digital tools for increasing revenue and facilitating the tax-filers.

The automation process in the FBR has already been started while short, medium and long-term strategies have been evolved to expand its outreach to all department including sales tax, income tax, customs duty and federal excise duties for introducing the best international practices in the institutions.

He said the objective to bring about automation in about 60 percent operations of the Board as per the international standard, saying that automation was top priority of the government.

He said that around 100,000 people have been issued notices on the basis of data, provided by different banks, indicating them to be the potential filers but there were non-filers so far.

Replying to a question, he said that FBR had not levied any tax on books, register copy and the stationary items of school children.

He said that people must inform the FBR about those selling expensive stationary items.

Meanwhile, in his presentation about the ‘Tax Assan’ App, FBR member IT, Mehmood Aslam said that for modernization and simplification of the FBR system, the government had introduce the automation in FBR to facilitate the tax-filers.

“We are working in line with the vision of the government for evolving an integrated automation system to address different complaints,” he added.

He said ‘Tax Assan’ App would be facilitating the new tax-filer for registering their application and soon after completion of registration they would get their STN.

He said that after registration for STN, the filers must go through Bio-Metric verification to National Database and Registration Authority (NADRA) within 30 days otherwise STN registration to be inactive after 30 days.


Posted on: 2019-08-20T18:01:00+05:00