FBR to implement a novel strategy for enhancing tax revenue collection
In Islamabad, the Federal Bureau of Revenue (FBR) is set to roll out a new initiative aimed at traders, titled “Retailer Scheme,” in anticipation of the forthcoming general elections scheduled for February 8.
The centerpiece of this initiative is the ‘Tajer Dost’ application, designed by the FBR to facilitate the registration of traders who are currently not part of the tax system. This application will enable the FBR to gather income records directly from shopkeepers, streamlining the process.
The scheme proposes to assess taxes on shopkeepers based on their yearly income, with tax collections occurring on a monthly basis. The initial phase of this strategy is expected to yield a substantial tax revenue of approximately 100 billion rupees, focusing on retailers in major cities such as Islamabad, Karachi, Lahore, Peshawar, and Quetta.
Following the successful implementation in these cities, the FBR plans to extend the registration process to traders in other cities across the country. The second phase is anticipated to generate an even greater revenue, exceeding 300 billion rupees, through the nationwide installation of this retailer-centric system.
This comprehensive scheme is set to encompass businesses across various sectors, marking a significant expansion in the tax base and aiming to bring a larger segment of the economy under the tax umbrella.