ISLAMABAD – The Federal Board of Revenue (FBR) hinted at making major changes to its trader-friendly scheme, the sources said on Wednesday.
Instead of collecting taxes from small retailers or traders, the FBR would initiate actions against larger retailers based on reliable information.
The sources said that the FBR would now register major retailers, shopkeepers/traders based on the analysis of returns, data security, and commercial electricity consumption data.
It would also suspend the existing policy of fixed tax per shop/retail outlet.
The biggest question remained whether the IMF approved this policy revision, as the trader-friendly scheme struggled to meet its revenue target.
A target of Rs10 billion was set for the first quarter while TDS collection for the second quarter (October-December) was targeted to reach Rs23.4 billion.
The FBR agreed with the IMF to collect Rs50 billion through TDS during the current fiscal year.
