Karachi, December 29, 2023 – In an effort to ease the tax collection process and accommodate taxpayers, banks in Pakistan are set to extend their working hours on the last two weekly holidays of 2023, December 30 and 31.
This initiative, aimed at streamlining government receipts, duties, and tax collections, comes following directives issued by the State Bank of Pakistan (SBP) on Friday.
The SBP outlined that all banks open on Saturdays will observe extended working hours until 5:00 pm on Saturday, December 30, 2023, and until 8:00 pm on Sunday, December 31, 2023. This extension is specifically for the collection of taxes through Alternate Delivery Channels and Over-the-Counter facilities.
To ensure the timely clearing and settlement of payment instruments, the National Institutional Facilitation Technologies (NIFT) has been instructed to arrange special clearings at 3:00 pm on Saturday, December 30, 2023, and at 5:00 pm on Sunday, December 31, 2023. This measure aims to eliminate any potential spillover of tax receipts.
Banks have been directed to take proactive steps to address the issue of unattended government receipts during the extended office hours. All instruments related to government receipts lodged during these special hours must be promptly processed and lodged in the special clearing scheduled for December 31, 2023.
Furthermore, banks are strongly advised to keep their branches open on both December 30 and 31, 2023, for as long as necessary to facilitate the special clearings for government transactions by NIFT. This move is expected to enhance efficiency and ensure that the tax collection process is streamlined, contributing to a smoother year-end financial operation.
The extension of working hours is seen as a proactive step by the banking sector to support the government’s efforts in revenue collection. By providing taxpayers with additional time and accessible channels, the initiative aims to enhance the convenience and efficiency of tax payments during the crucial year-end period.
This move aligns with broader efforts to create a tax-friendly environment and promote compliance, reinforcing the collaboration between financial institutions and regulatory bodies to strengthen the financial ecosystem in Pakistan. As the nation approaches the end of the fiscal year, the extended banking hours are likely to facilitate a seamless conclusion to the year’s financial activities.
