Pkrevenue.com

Business News

budget proposals

FBR urged to provide option for business principal activity in sales tax registration

KARACHI: Federal Board of Revenue (FBR) has been urged to provide options for business principal activity in order to enable taxpayers to start their businesses without any delay.

Karachi Chamber of Commerce and Industry (KCCI) in its proposals for budget 2021/2022 said that no option is available in IRIS registration 181-form to declare “Commercial Exporter / Importer” as principal activity.

Addition of business principal activity as Manufacturer is very complicated.

Principals and business activities are in the same place in the IRIS 181-Form creating confusion.

Due to the flaws in IRIS 181-Form, Commercial Exporters/Importers have to pick the option of “WHOLESALER” as principal activity which is incorrect.

Because of the lengthy and complicated procedure taxpayer cannot specify themselves as Manufacturer.

Due to no provision of separation between Importer and Manufacturers, taxpayers in both activities face a lot of problems.

The chamber proposed that comprehensive range of activities should be provided as options to specify clear business principal activity in IRIS 181-Form.

Concerned Association should issue a certificate and FBR/Board may change the taxpayer status as Manufacturer.

Option required to be available in the system of registration so there would no fear of error during registration.

Giving rationale, the chamber said that taxpayer can easily start his business without any delay and unnecessary hassle. Taxpayer profile will become well defined and clear.