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Tag: FBR

FBR, Pakistan’s national tax collecting agency, plays a crucial role in the country’s economy. Pakistan Revenue is committed to providing readers with the latest updates and developments regarding FBR activities.

  • FBR collects over Rs2.31 trillion in five months

    FBR collects over Rs2.31 trillion in five months

    ISLAMABAD: The Federal Board of Revenue (FBR) – Pakistan’s apex revenue collecting agency – has collected over Rs2.31 trillion during the first five months (July – November) of the fiscal year 2021/2022.

    According to provisional statistics released by the FBR on Tuesday, the net revenue collection is at Rs2.314 trillion during the first five months, which is Rs298 billion higher than the target of Rs2.016 trillion for the period.

    This represents a growth of about 36.5 per cent over the collection of Rs. 1.695 trillion during the same period last year.

    While chasing the target of Rs 408 billion fixed for the month of November 2021, the net collection for the month realized Rs. 470 billion, which is Rs 62 billion in excess of the assigned monthly target, representing an increase of 35.2 per cent over Rs 348 billion collected in November 2020.

    These figures would further improve before the close of the day and after book adjustments have been taken into account, the FBR said.

    On the other hand, the gross collections increased from Rs. 1,783 billion during July-November, 2020 to Rs. 2,437 billion in current Financial Year, showing an increase of 36.7 per cent.

    The amount of refunds disbursed was Rs 123 billion during July- November 2021 compared to Rs. 88 billion paid last year, showing an increase of 40.5 per cent.

    It is pertinent to mention that after collecting over Rs. 4.7 trillion and exceeding its assigned revenue targets set for tax year 2020-21, FBR has successfully maintained the momentum set in July, 2021.

    Its tax collection posted historic high growth in the first quarter of the current fiscal year. During the first four months (July-October), FBR has far surpassed its revenue target by Rs 233 billion.

    This spectacular performance in the first five months of the current financial year clearly shows that FBR is well on its way to achieving the assigned target of Rs. 5.829 trillion for the year despite the daunting challenges, compelling constraints posed by the corona pandemic, and sporadic tax cuts announced by the government as relief and price stabilization measures.

    FBR’s collection up by 30.5% to Rs440 billion in Oct 2021
  • FBR asked to redouble efforts for broadening tax base

    FBR asked to redouble efforts for broadening tax base

    ISLAMABAD: Shaukat Tarin, Adviser to the Prime Minister on Finance and Revenue, on Monday asked the Federal Board of Revenue (FBR) to redouble its efforts for broadening the tax base.

    The adviser expressed his full support and confidence to the FBR team and advised to redouble their efforts and launch the taxpayer outreach initiative at the earliest to expand the existing tax base and boost the revenue collection. Tarin chaired a meeting on broadening of the tax base by the FBR at the Finance Division.

    Chairman FBR, senior officers from FBR, and Finance Division attended the meeting.

    Chairman FBR and his team gave a detailed presentation on the progress on readiness for potential taxpayer outreach initiatives to boost revenue growth and resource mobilization.

    Chairman FBR apprised the Adviser that pragmatic steps have been initiated for the compilation of data, with the support of NADRA, which would be available to potential and current taxpayers in a presentable and comprehensible manner through a web portal.

    Key challenges to reaching out to potential and current taxpayers, public awareness, and confidence-building measures taken by FBR were also discussed in the meeting.

    The adviser lauded the steps taken by FBR and stressed that efficient and robust communication with the taxpayers should be at the center of activity undertaken by FBR to harness public support for its efforts for broadening the tax base and promoting a tax compliant culture in the country.

    FBR offers help to provinces in broadening agri tax base
  • FBR imposes AML condition on immovable properties

    FBR imposes AML condition on immovable properties

    ISLAMABAD: The Federal Board of Revenue (FBR) on Monday imposed a condition under the Anti-Money Laundering Act, 2010 on transfers and registration of immovable properties.

    The FBR DNFBPs Order No. 1 of 2021 impose the condition.

    The FBR said that the Anti-Money Laundering Act, 2010 empowered the revenue board to license or register its reporting entities (R0s) namely, Designated Non-Financial Businesses and Professions (DNFBPs), impose conditions on any activities by DNFBPs to prevent the offenses of money laundering, predicate offenses or financing of terrorism through the issuance of Directions or imposing Conditions under the relevant provisions of the AMLA, 2010.

    Now, in the exercise of the powers conferred under section 6A of the AMLA, 2010 read with clause 1(iii) of Schedule IV ibid, and to foster the anti-money laundering and countering the financing of terrorism regime in Pakistan, FBR has imposed the following Condition on all Real Estate Development Authorities, Cooperative Housing Societies, and all other Housing Societies, Schemes, and Firms dealing in the real estate, namely:-

    “Condition No. 1 of 2021: No public or private Development Authority shall conduct the business activity with any real estate agent for the transfer or registration of immovable property unless the Real Estate Agent is registered with the Federal Board of Revenue as a Designated Non-Financial Business and Profession (DNFBP).”

    The above condition shall be disseminated to all Real Estate Agents registered or dealing with the Development Authorities, Housing Authorities Cooperative Housing Societies and other Housing Schemes dealing in the development of land for residential & commercial purposes, construction, and sale/purchase and/or transfer of ownership rights and also displayed on all relevant places for the information of general public.

    The real estate agents may also be informed to obtain Registration Certificates from the concerned Director, DNFBPs once registered as a DNFBP with FBR.

    Any volition of this Condition shall attract the penal provisions under the AML Act, 2010 and the AML/CFT Sanctions Rules, 2020. This Condition comes into effect on January 1, 2021, the FBR added.

    FBR vows to curb money laundering in real estate
  • Up to Rs50,000 penalty for obstructing access to records

    Up to Rs50,000 penalty for obstructing access to records

    Section 33(9) of the Sales Tax Act, 1990, stipulates that individuals who obstruct officials of Inland Revenue in accessing records may face penalties ranging from Rs5,000 to Rs50,000.

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  • Penalty for failure to maintain sales tax record

    Penalty for failure to maintain sales tax record

    The Sales Tax Act, 1990, empowers authorities to impose penalties on individuals or businesses failing to maintain records as required under Section 22 and Section 24 of the Act.

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  • Imprisonment for selling goods without tax registration

    Imprisonment for selling goods without tax registration

    A person is liable to imprisonment where he is required to get registered for sales tax under Section 14 of the Sales Tax Act, 1990, but he makes supplies without making an application for the registration.

    The Federal Board of Revenue (FBR) issued the Sales Tax Act, 1990 updated up to June 30, 2021. The Act incorporated amendments brought through Finance Act, 2021.

    Following is the text of section 33(7) of the Sales Tax Act, 1990:

    33. Offences and penalties.– Whoever commits any offence shall, in addition to and not in derogation of any punishment to which he may be liable under any other law, be liable to the penalty mentioned against that offence: –

    7. Any person who is required to apply for registration under this Act fails to make an application for registration before making taxable supplies.

    Such person shall pay a penalty of ten thousand rupees or five per cent of the amount of tax involved, whichever is higher:

    Provided that such person who is required to get himself registered under this Act, fails to get registered within sixty days of the commencement of taxable activity, he shall, further be liable, upon conviction by a Special Judge, to imprisonment for a term which may extend to three years, or with fine which may extend to an amount equal to the amount of tax involved, or with both.

    (Disclaimer: The text of above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)

    Penalty for repeated miscalculation in sales tax return
  • Penalty for repeated miscalculation in sales tax return

    Penalty for repeated miscalculation in sales tax return

    The Federal Board of Revenue (FBR) has reinforced its commitment to maintaining the integrity of the tax system by imposing penalties on individuals who repeatedly make erroneous calculations in their sales tax returns.

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  • Three-year jail for defaulting sales tax payment

    Three-year jail for defaulting sales tax payment

    A special judge may award imprisonment up to three years to a person who defaulted sales tax payment despite an opportunity from the tax authorities to pay the amount under Section 3, Section 6, Section 7 and Section 48 of the Sales Tax Act, 1990.

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  • Penalty for failure to notify changes in registration details

    Penalty for failure to notify changes in registration details

    Section 33(4) of the Sales Tax Act, 1990 has revealed penalty for failure to notify changes in registration details by taxpayers.

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  • Penalty for issuing unauthorized sales tax invoice

    Penalty for issuing unauthorized sales tax invoice

    The Federal Board of Revenue (FBR) has intensified efforts to curb unauthorized practices in the realm of sales tax by implementing penalties for the unauthorized issuance of sales tax invoices.

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