The Federal Board of Revenue has expressed its willingness to amend the tax scheme according to the demands of traders, signalling a potential shift in the ongoing discussions over tax collection.
According to FBR sources, a revised note could be issued promptly if traders agree, with proposed changes including exempting small traders from tax liabilities.
One of the significant amendments under consideration is simplifying the income tax return form and issuing it in easy-to-understand Urdu. Additionally, there is a proposal to exempt businesses with an annual turnover of up to Rs 100 million from sales tax.
Meanwhile, Rana Ihsan Afzal Khan, Coordinator to Prime Minister Shehbaz Sharif, has stated that the federal government will not yield to pressure from traders, asserting that retailers must enter the tax net.
In a statement released on Wednesday, Ihsan said, “We will not shy away from negotiations, but we will not come under the traders’ pressure. If the traders believe we are making a mistake, we are open to sitting down again.”
He further mentioned that Prime Minister Shehbaz intends to restructure the Federal Board of Revenue), emphasising that the retail sector must be brought into the tax net.
