FBR launches online system to monitor earnings of doctors, medical consultants

FBR launches online system to monitor earnings of doctors, medical consultants

ISLAMABAD: Federal Board of Revenue (FBR) has launched an online system to monitor income derived by medical practitioners, doctors and consultants in order to prevent tax evasion.

The FBR has introduced electronic fiscal devices to be installed at the premises of hospitals, health centers and clinics. In order to implement the law to install electronic fiscal devices the FBR issued draft rules through SRO 779(I)/2020.

This electronic fiscal device will be mandatory for medical practitioners and consultants. However, those medical practitioners and consultants will be exempted from installation of fiscal device where: the consultation is being provided at a place other than a hospital or poly clinic; and the consultation fee is less than Rs1500.

Similarly, the installation of fiscal electronic device is also mandatory for hospitals or medical care centers providing medical consultation, hospitalization or other ancillary services.

According to the draft rules pathological laboratories, medical diagnostic laboratories including X-Rays, CT Scan, M R Imaging etc shall also required to install the electronic fiscal device. However, exemption is available, where: the taxpayer is not a company; and the taxpayer is not maintaining more than one branch whether under its own name or through an associate.

Furthermore, the installation of fiscal electronic device is also mandatory for health clubs, gyms, physical fitness centers, and body or sauna massage centers. Exemption from this condition has been allowed, where: the covered area is less than 1000 sq feet; or the facility of air-conditioning is not installed or available in the premises.

The FBR has made mandatory the condition of installing fiscal electronic devices for doctors, medical practitioners and consultants practicing in eight major cities of the country, which included: Karachi, Lahore, Islamabad, Rawalpindi, Faisalabad, Multan, Peshawar and Gujranwala.