ISLAMABAD: Fulfilling another IMF condition, the Federal Board of Revenue (FBR) has expanded its “Trader Friendly Scheme” to 42 cities, aiming to bring small shopkeepers and retailers into the tax net and collect taxes from them.
The FBR introduced the scheme, increasing its scope from 6 to 42 cities, issuing a notification to include Abbottabad, Attock, Bahawalnagar, Bahawalpur, Chakwal, Dera Ismail Khan, Faisalabad, Ghotki, Gujrat, Gwadar, Hafizabad, Haripur, Hyderabad, Islamabad, Jhang, Jhelum, Kasur, Khushab, Lahore, Larkana, Layyah, Lodhran, Mandi Bahauddin, Mansehra, Mardan, Mirpur Khas, Multan, Nankana Sahib, Narowal, Peshawar, Quetta, Rahim Yar Khan, Rawalpindi, Sahiwal, Sargodha, Sheikhupura, Sialkot, Sukkur, and Toba Tek Singh.
Under the scheme, registered traders will pay advance income tax ranging from Rs. 100 to Rs. 1,000 monthly, based on their fair market value, determined by the FBR. The initiative primarily targets small traders, shopkeepers, wholesale and retail sellers, manufacturers selling at retail, and importer retailers.
Traders and shopkeepers can register through the “Tax Asaan” mobile app or the FBR web portal. Non-compliance may result in the FBR directly including the trader in the National Business Registry.
The scheme, initially launched in Pakistan’s six major cities including Karachi, Lahore, Islamabad, Rawalpindi, Peshawar, and Quetta, began its first phase of monthly advance income tax collection from July 15, with a minimum annual tax of Rs. 1,200.
FBR Extends “Trader Friendly Scheme” to 42 Cities Including Islamabad
