Category: Uncategorized
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Muhammad Mehr Ali, Chairman of the Pakistan Tanners Association (PTA), has requested the Prime Minister and the Federal Finance Minister to reconsider the proposed introduction of advance income tax. He advocates maintaining the existing practice where exporters currently pay a 1% final income tax adjustment on their export proceeds, a system that has been in place for several years. Ali argues that this adjustment is crucial to prevent further deterioration of Pakistan’s export sector.
Currently, exporters earning income from exports pay a final tax of 1% on their export proceeds. Based on the principle of horizontal equity, which calls for equal taxation of taxpayers with equal income, there is a proposal to subject export income to normal tax rates, treating the 1% tax collection on export proceeds as a…
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The Federal Board of Revenue (FBR) has introduced a new provision for issuing electronic sales tax invoices by registered persons under the Finance Bill 2024.
Explaining the significant procedural amendments through the Finance Bill 2024, Arshad Shehzad, a leading sales tax expert, stated that the government has proposed the issuance of electronic invoices by sales tax-registered persons through an amendment in section 23 of the Sales Tax Act 1990. Currently, the issuance of electronic invoices is limited to certain sectors…
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The Federal Board of Revenue (FBR) in Islamabad has suggested an increase in the withholding tax on cash withdrawals from banks for non-filers, raising the rate from 0.6 percent to 0.9 percent. This measure aims to generate an additional revenue of Rs 15-20 billion in the fiscal year 2024-25.
The government’s proposal to penalize non-filers of income tax returns has been a key topic of discussion between the Federal Board of Revenue (FBR) and the International Monetary Fund (IMF). Currently, cash withdrawals exceeding Rs 50,000 by non-filers in a single day, whether through credit cards or ATMs, incur a 0.6 percent withholding tax. The…
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KPRA crackdown on non-compliant taxpayers
PESHAWAR: To enhance tax compliance and deter evasion, the KPRA, under the guidance of DG Fouzia Iqbal, intensified its crackdown on non-compliant businesses in Peshawar. A team from KPRA Peshawar, led by Assistant Collectors Khalid Mansoor, Roohullah Khan, Shahnawaz Khan, Muhammad Imran Khan, and supported by Inspector Muhammad Afzal Abid, and Auditors Hadi Hussain Bangash…
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On Saturday, the Lahore Chamber of Commerce and Industry urged Prime Minister Shahbaz Sharif to step in and stop the enforcement of Statutory Regulatory Order (SRO) 350(I)/2024.
President of the Lahore Chamber of Commerce and Industry (LCCI), Kashif Anwar, expressed concerns about the negative impacts of SRO 350(I)/2024, dated March 7, 2024. This regulation links buyers’ tax return filings to their suppliers’ compliance, causing significant disruption if suppliers fail to comply. The potential for non-compliance threatens to halt operations across the entire…
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LAHORE: Punjab Finance Minister Mujtaba Shujaur Rehman emphasized the necessity of documenting the economy. Consequently, the provincial government will amend the Punjab Sales Tax Act to enhance the efficiency of the Punjab Revenue Authority (PRA).
During a meeting of the Ministers’ Committee for Resource Mobilisation 2024-25 held in Lahore on Friday, Punjab Finance Minister Mujtaba Shujaur Rehman highlighted the importance of enhancing the province’s indigenous resources. The session focused on reviewing proposals from the Board of Revenue and Punjab Revenue Authority aimed at boosting the province’s revenue. Minister Rehman emphasized…
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LAHORE: The Punjab Revenue Authority (PRA) Lahore office has implemented a new plan to monitor public sector withholding agents. Enforcement teams have been assigned various tasks to enhance the monitoring of these agents.
On Friday, telecom operators agreed to start manually blocking non-filers in small batches, concluding a week-long dispute over implementing the tax authority’s initiative to expand the tax base. This consensus was reached after the Federal Board of Revenue (FBR) conducted crucial meetings with the Pakistan Telecommunication Authority (PTA) and telecom operators to enforce Income Tax…
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ISLAMABAD: Cellular companies have unblocked over 7,000 SIM cards previously blocked due to non-filing of income tax returns.
The Federal Board of Revenue (FBR) sources said that 7,167 mobile SIM cards have been unblocked after the individuals filed their income tax returns. The FBR shared the data of 65,000 non-filers with telecom companies and instructed them to block the SIMs of these individuals. A total of 506,671 non-filers have been identified, and their…
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The Islamabad High Court (IHC) issued an injunction against the government’s decision to block the mobile phone SIMs of non-tax filers.
On Friday, telecom operators agreed to begin manually blocking small batches of non-filers, concluding a week-long standoff regarding the implementation of the tax authorities’ drive to expand the tax base. This agreement was reached after critical meetings between the Federal Board of Revenue (FBR), the Pakistan Telecommunication Authority (PTA), and telecom operators to enforce Income…
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Income Tax General Order No 01 of 2024
This order mandates the filing of income tax returns by individuals who are not on the active taxpayers list but are liable to file returns for the tax year 2023 under the Income Tax Ordinance 2001. The FBR has provided a list of 50,671 individuals who fall under this category, which can be found on…