ISLAMABAD: Federal Board of Revenue (FBR) on Wednesday invited income tax proposals for budget 2021/2022 and asked stakeholders to submit the same by February 15, 2021.
The FBR asked the tax offices, including Large Taxpayers Offices (LTOs), Medium Tax Offices (MTOs), Corporate Tax Offices (CTOs) and Regional Tax Offices (RTOs), and trade and industries that the proposals should focus on broadening the tax base for a wide participation in revenue generation efforts.
The FBR advised that suggestions should in the following policy areas:
Broadening of tax base for a wider participation in revenue generation efforts;
Taxation of real income on progressive basis;
Phasing out of tax concessions and exemptions;
Removal of tax distortions and anomalies;
Facilitation of taxpayers and ease of doing business;
Promoting equity in taxation by introducing measures where incidence of tax is higher on affluent classes.
The stakeholders have been asked to provide proposals in a prescribed formation that should include relevant sections/clauses or rules where amendment is sought. The proposals related to any section of Income Tax Ordinance, 2001 or any rule to Income Tax Rules, 2002 should be presented along with rationale and revenue impact.