Karachi, February 27, 2025 – The Karachi Chamber of Commerce and Industry (KCCI) has urged its members to actively participate in discussions regarding SRO 55 by submitting their recommendations.
These recommendations will be compiled and presented to the Federal Board of Revenue (FBR) to address concerns and seek possible revisions to the new tax regulations.
In a circular issued to its members, KCCI highlighted that FBR, through SRO No. 55(1)/2025 dated January 24, 2025, has introduced substantial amendments to the monthly sales tax return filing process. Under these new regulations, all registered manufacturers, commercial importers, distributors, and wholesalers dealing in taxable goods are now required to furnish both the value and quantity of goods produced, acquired, and sold in their sales tax returns.
Since the notification does not specify an effective date, KCCI anticipates that the changes have already come into effect. Consequently, these modifications will likely impact the sales tax returns filed for February 2025 and all subsequent periods. KCCI has emphasized the need for businesses to promptly review these new requirements to ensure compliance and avoid any unforeseen penalties.
Furthermore, KCCI pointed out that on January 29, 2025, the FBR issued Notification S.R.O. 69(1)/2025, which effectively replaces Chapter XIV of the Sales Tax Rules, 2006. This amendment establishes new protocols for the licensing, integration, and issuance of electronic sales tax invoices. The updated framework aims to enhance transparency, improve tax compliance, and optimize administrative efficiency by consolidating and streamlining previous regulations. It also incorporates provisions from Chapters XIV-AA and XIV-BB, providing a unified structure for electronic invoicing and its associated procedures.
KCCI has urged all its members to submit their concerns and suggestions regarding both SRO 55 and SRO 69, ensuring that their feedback is well-supported by factual data and industry insights. By collecting and presenting these inputs, KCCI aims to effectively engage with FBR and advocate for any necessary modifications or clarifications in the interest of the business community.
An early response from members is crucial, as it will enable KCCI to initiate timely discussions with FBR. The chamber remains committed to protecting the interests of its members and ensuring a smooth transition to the new tax filing system.
