ISLAMABAD, Jan 25: The Federal Board of Revenue (FBR) is rolling out a simplified tax scheme for the retail industry as part of efforts to bring more businesses into the formal economy and reduce the undocumented sector, sources revealed today.
The FBR aims to streamline taxation procedures for traders, retailers, and individuals to make it easier to compute their incomes, the details show. The scheme is expected to generate additional income tax revenue between PKR 400-500 billion.
The proposed scheme’s details were presented before the federal cabinet and awaits their approval, a senior tax official said. The objective is to make the process of determining incomes of traders and retailers more efficient.
Read More: Punjab CM Naqvi Pushes for Swift Completion of Lahore Band Road Project
Despite accounting for a substantial 18% of GDP, the retail and wholesale sector’s tax contribution remains disproportionately low at just 4%. Since identifying this gap, the government has been consistently striving to better integrate this industry into the tax net. However, previous attempts have not yielded desired results.
Winston Mall: please contact +92-314-5166334 or visit https://winstonmall.com/
