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 promotes 106 IRS officers to BS-18

ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday promoted 106 officials of Inland Revenue Service (IRS) to BS-18 on regular basis and acting charge basis with immediate effect.

The following BS-17 officers of IRS are promoted to BS-18 on regular basis with immediate effect:-

1. Ms. Sadeea Nadeem

2. Ali Ahsan Warraich

3. Ms. Mahwash Sami *

4. Muhammad Hussain Shah

5. Muhammad Zeeshan

6. Ms. Alvina Fatima

7. Ms. Kiran Zahra

8. Ms. Alia Khurshid

9. Amir Yasin

10. Ms. Madiha Batool

11. Ms. Saira Khan

12. Amir Aslam

13. Ms. Seemab Zafar

14. Ms. Sana Ghous

15. Ms. Angel David

16. Ms. Romesa Tahir

17. Arsalan Khan

18. Hammad Hussain Jaffari

19. Syed Faizan Ali Zaidi

20. Muhammad Mauz Zafar

21. Muhammad Hussnain Shamim

22. Usman Azam Bhatti

23. Ghulam Hussain Yassir

24. Malik Samiullah Khan *

25. Faizan Ahmad

26. Ms. Anum Tahir

27. Muhammad Naveed

28. Gobind Kumar

29. Adnan Jabbar

30. Zahoor Ahmad

31. Waseem Ahmed

32. Ms. Shaista

33. Waqar Ahmed

34. Ghufran Syed

35. Muhammad Nasir Javid *

36. Dr. Aneela Javed Gondal *

37. Syed Nasir Jamal Shah

38. Mohsin Ihsan

39. Ms. Rosheen Hussain Syed

40. Muhammad Qamar Minhas

41. Ejaz Qaisar

42. Akhtar Saleem

43. Kamran Shahab

44. Usman Sadiq

45. Muhammad Kashif Ahmad

46. Muhammad Siddique

47. Khawar Yaqoob

48. Muhammad Ansir Ali khan

49. Talib Hussain

50. Suhbat Ali Sahto

51. Shahid Nawaz

52. Syed Abaid ur Rehman

53. Atif Nawaz Warriach

54. Muhammad Nadeem Asad

55. Muhammad Shah Jahan Durrani

56. Ms. Hina Mustafa

57. Wazir Ahmad Khushik

58. Zufiqar Ali Memon

59. Javed Alam

60. Anees Ahmad

61. Ms. Tabinda Shaheen

62. Roshan Ali

63. Ms. Sorath Sadiq Chandio

64. Muhammad Jamshed Khan

65. Muhammad Naeem Afzal Khan

66. Sanaullah

67. Abdul Waheed Awan

The FBR said that the officers shall actualize their regular promotion to BS-18 at their present place of posting.

The officers at Sr. Nos. 03, 24, 35 & 36 will actualize their promotion to BS-18 from the date they return from deputation and join FBR (Hq), Islamabad.

The following BS-17 officers of Inland Revenue Services are appointed in BS-18 on acting charge basis with immediate effect:-

1. Hayat Omer Malik

2. Ms. Tooba Ahmed Khan

3. Ms. Saman Zahra

4. Ms. Bushra Ranjha

5. Ahmad Faiz

6. Ms. Mehak Fatima

7. Ms. Namra Ijaz

8. Ms. Fatima Anjum

9. Ray Muhammad Najam Nawaz Saqib

10. Ms. Shahida Nazeer

11. Muhammad Naeem Orakzai

12. Ms. Rafia Nawaz Ranjha

13. Usama Amin

14. Ms. Komal Altaf

15. Ms. Maheen Ali

16. Ms. Rabia Haider Bokhari

17. Kamran Hussain

18. Muhammad Safian Adeel

19. Sohail Anjum

20. Ms. Farah Khan

21. Shahzad Akbar

22. Ms. Mehreen Yousaf

23. Ali Raza Gilani

24. Najam-ul-Hassan

25. Ms. Sania Makhdoom

26. Khan Muhammad

27. Aamir Hussain

28. Ali Khalid

29. Ms. Samayya Qayyum

30. Ms. Javeria Hayat

31. Ms. Amna Sharif *

32. Arsalan Ali

33. Abdullah Zulfiqar

34. Abdul Baseer Khan Khattak

35. Ms. Sanam Rasool

36. Ahmad Taimoor

37. Usman Asif

38. Rizwan Manzoor *

39. Ms. Aqsa Gharshin

The above officers shall actualize their appointment in BS-18 on acting charge at their present place of posting.

The officers at Sr. Nos. 31 & 38 will actualize their appointment from the date they return from deputation and join FBR (Hq), Islamabad.

July 21, 2020
FBR abolishes regulatory duty on wheat import

ISALAMABAD: Federal Board of Revenue (FBR) on Tuesday abolished regulatory duty on import of wheat in order to bring down domestic price of the commodity.

The FBR issued SRO 633(I)/2020 in order to amend SRO 6809I)/2019 dated June 28, 2019.

Through the SRO the FBR reduced the regulatory duty to zero from 60 percent.

FBR sources said that the decision to abolish the regulatory duty was take to encourage import of the commodity in order to ensure buffer stock at home and maintain retail price at lower side.

July 21, 2020
Advance ruling for classification of goods implemented

ISLAMABAD: The law of advance ruling for classification of goods or determination of origin has been implemented through Finance Act, 2020 from July 01, 2020.

The National Assembly has approved the law of advance ruling that was proposed through Finance Bill, 2020.

According to explanation issued by PWC A F Ferguson Chartered Accountants, the concept of advance ruling presently there in the Customs Act, has been revamped.

Previously, the mechanism is relevant only in respect of classification for assessment of duties on goods intended to be imported/ exported.

Through the Finance Act 2020 the meaning and scope of advance ruling has been enhanced to include the determination of classification, origin, the applicability of particular relief/ exemption on goods and any other matter as Federal Board of Revenue (FBR) may specify.

A new section 212B has been inserted to Customs Act, 1969 which stated:

“212B. Advance Ruling –

(1) An applicant desirous of Advance Ruling may make an application in such form and in such manner as may be prescribed under the rules, stating any of the questions as contained in sub-section (3) hereinafter on which the Advance Ruling is sought.

(2) The question on which advance ruling is sought shall be in respect of.-

(i) Classification of goods under the First Schedule to this Act;

(ii) Determination of origin of the goods under the rules of origin notified for bilateral and multilateral agreements;

(iii) Applicability of notification issued in respect of duties under this Act or any tax or duty chargeable under any other law for the time being in force in the same manner as duty of customs leviable under this Act; or

(iv) Any other matter as the board [FBR] may specify by notification in the official Gazette.

(3) The proceedings for issuance of advance ruling shall be completed within 90 days.

(4) The Ruling issued under sub-section (1) shall be binding on the applicant.

(5) The Ruling issued under sub-section (1) shall be binding on the Customs for a period of one year unless there is a change in law or facts or circumstances on the basis of which the advance ruling was pronounced.

(6) The appeal against the Ruling issued under sub-section (1) shall lie with the Member Customs (Policy) within 30 days of issuance of the Ruling;

Provided that during the appeal period of 30 days, the operation of the Ruling shall remain suspended unless the applicant accepts the Ruling.”

July 21, 2020
Big retail units to be sealed till integration with FBR

ISLAMABAD: Big retail units shall be sealed till their integration with the online system of the Federal Board of Revenue (FBR) for sharing sales and purchases.

Sources in the Federal Board of Revenue (FBR) said that the big retail units are required to integrate their outlets with the FBR under Sales Tax Act, 1990.

However, those retailers who failed to integrate their outlets with the FBR would face punitive action as defined in the statute.

The sources said that through Finance Act, 2020 amendment has been made related to penalty for non-compliance for linkage of sales and purchase data with the FBR.

According to amendment made to Sales Tax Act, 1990, any person, who is required to integrate his business for monitoring, tracking, reporting or recording of sales, production and similar business transactions with the board or its computerized system, fails to get himself registered under the Act, and if registered, fails to integrate in the manner as required under law.

“Such person shall be liable to pay a penalty up to one million rupees, and if continues to commit the same offence after a period of two months after imposition of penalty as aforesaid, his business premises shall be sealed till such time he integrates his business in the manner as stipulated under sub-section (9A) of Section 3 or Section 40C, as the case may be.”

All tier-1 retailers are required to integrate all their POSs with FBR’s computerized system.

Tier-1 retailer is defined in section 2(43A) of the Sales Tax Act, 1990, to be a person who falls in any of the following categories:

(a) a retailer operating as a unit of a national or international chain of stores;

(b) a retailer operating in an air-conditioned shopping mall, plaza or centre, excluding kiosks;

(c) a retailer whose cumulative electricity bill during the immediately preceding twelve consecutive months exceeds Rupees twelve hundred thousand;

(d) a wholesaler-cum-retailer, engaged in bulk import and supply of consumer goods on wholesale basis to the retailers as well as on retail basis to the general body of the consumers; and

(e) a retailer, whose shop measures one thousand square feet in area or more.

The FBR extended date for retailers to integrate their Point of Sale (POS) up to August 31, 2020.

The last date for integrating the POS for Tier-1 retailers was previously June 30, 2020.

The FBR said that only those retailers can integrate their POS by August 31 who submit their intention to RTOs/LTUs by August 20, 2020.

FBR sources said that the decision had been taken due to lockdown in the many parts of the country in order to prevent spread of coronavirus the business activities had become stand still.

The deadline was expired on December 15, 2019 which was given by the FBR to tier-1 retailers to integrate their POSs with the FBR online system. However, the date was extended in order to give opportunity to big retailers to make compliance.

July 19, 2020
Import of heavy electric vehicles allowed at 1 percent customs duty

ISLAMABAD: Federal Board of Revenue (FBR) has allowed import of heavy electric vehicles at one percent customs duty.

Through Finance Act, 2020 the duty at one percent has been made part of Customs Act, 1969.

According to the Finance Act, 2020 the imports of electric buses, electric trucks and electric prime movers have been allowed at one percent of customs duty and there is no condition attach to the imports.

However, imports of other electric vehicles including auto rickshaw, 3-wheeler loader and motorcycle have been allowed reduced duty rate at 50 percent of the prevailing tariff rate of customs duty as specified in the First Schedule to the Customs Act, 1969.

There are conditions attached to the imports of such motor vehicles. The FBR said that the concession shall be admissible for a period of five years with effect from July 01, 2020, on import of 10 electric vehicles (CBU – Completely Buildup Unit) of the same variant to the assembled / manufactured to the extent of maximum 200 units, to 2-3 wheeler segment, duly approved / certified by the Engineering Development Board (EDB).

The EDB shall monitor compliance with the EV Policy 2020 and intimate FBR immediately in case of violation by any manufacturer to stop further clearance at the concessional rate.

July 19, 2020
FBR recommended imposing penalty for late return filing instead extending last date

ISLAMABAD: Federal Tax Ombudsman (FTO) has advised the Federal Board of Revenue (FBR) to impose penalty for late filing of income tax returns instead extending the last date.

The FTO in its annual report recommended that the FBR that instead of extending the last date for filing of Returns, late filing be allowed with certain penalty per month or any part of it, as it would be a more revenue-pro measure.

The FTO further recommended that in order to encourage increase in filing of Returns by employees of government and autonomous bodies, it was recommended that FBR to approach the concerned Authorities/Establishment Division to issue instructions to heads of government Departments, autonomous bodies and large scale public sector organizations for obtaining certificate of filing of Returns by their employees falling in the tax net, at the end of last date of filing of Returns, and link their promotions/increments to filing of Returns.

It was also suggested to devise mechanism in consultation with Securities and Exchange Commission of Pakistan (SECP) to ensure that business entities registered with SECP, who were non-filers, must file Income Tax Returns regularly.

It was also recommended that proper assistance to the Return filers be provided through establishment of facilitation centres at convenient places.

July 18, 2020
FBR notifies key transfers of senior IRS officers

ISLAMABAD: Federal Board of Revenue (FBR) on Friday notified major transfers / postings of senior officers of Inland Revenue Service (IRS) with immediate effect.

The FBR notified transfers and postings of following BS-19-22 officers of IRS:

01. Hafiz Muhammad Ali Indhar (Inland Revenue Service/BS-22) has been transferred and posted as Member, (HRM) Federal Board of Revenue (Hq), Islamabad from the post of Member, (Strategic Planning Reforms & Statistics) Federal Board of Revenue (Hq), Islamabad.

02. Dr. Faiz Illahi Memon (Inland Revenue Service/BS-21) has been transferred and posted as Director General, (Special Initiative) (stationed at Karachi) from the post of Member, (Admin) Federal Board of Revenue (Hq), Islamabad.

03. Dr. Hamid Ateeq Sarwar (Inland Revenue Service/BS-21) has been transferred and posted as Member, (SPR&S) Federal Board of Revenue (Hq), Islamabad from the post of Member, (Inland Revenue Policy) Federal Board of Revenue (Hq), Islamabad.

04. Ch. Muhammad Tarique (Inland Revenue Service/BS-21) has been transferred and posted as Member, (Inland Revenue Policy) Federal Board of Revenue (Hq), Islamabad from the post of Chief Commissioner-IR, Regional Tax Office, Sialkot.

05. Dr.Lubna Ayub (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue Regional Tax Office, Quetta from the post of Member, Federal Board of Revenue (Hq), Islamabad.

06. Ms. Ambreen Iftikhar (Inland Revenue Service/BS-21) has been transferred and posted as Member, (Reforms & Modernization) Federal Board of Revenue (Hq), Islamabad from the post of Member, (HRM) Federal Board of Revenue (Hq), Islamabad.

07. Bakhtiar Muhammad (Inland Revenue Service/BS-21) has been transferred and posted as Member, (Admin) Federal Board of Revenue (Hq), Islamabad from the post of Member, (FATE) Federal Board of Revenue (Hq), Islamabad.

He is also assigned the additional charge of the post of Member (FATE), FBR till the posting of a regular incumbent.

08. Sajidullah Siddiqui (Inland Revenue Service/BS-21) has been transferred and posted as Director General, (Retail) Federal Board of Revenue (Hq), Islamabad from the post of Chief Commissioner-IR, Corporate Regional Tax Office, Karachi.

09. Dr. Aftab Imam (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue Corporate Regional Tax Office, Karachi from the post of Chief Commissioner-IR, Regional Tax Office, Quetta.

10. Tariq Mustafa Khan (Inland Revenue Service/BS-20) is presently working as Chief Commissioner-IR, (OPS) Regional Tax Office, Gujranwala. He is assigned the additional charge of the post of Chief Commissioner-IR, RTO, Sialkot till the posting of a regular incumbent.

11. Malik Amjad Zubair Tiwana (Inland Revenue Service/BS-20) has been transferred and posted as Commissioner Inland Revenue (IP/TFD/HRM) Large Taxpayers Unit, Islamabad from the post of SA to Secretary Revenue Division / Chairman, Federal Board of Revenue (Hq), Islamabad.

12. Naveed Khalid Khan (Inland Revenue Service/BS-19) has been transferred and posted as SA (OPS) to Secretary Revenue Division / Chairman, FBR from the post of Chief, (OPS) (Admin) Federal Board of Revenue (Hq), Islamabad

The FBR said that the officers who are drawing performance allowance prior to issuance of this notification shall continue to draw this allowance on the new place of posting.

July 17, 2020

Advance tax on cable operators abolished

ISLAMABAD: The government has abolished advance tax on cable operators and other electronic media that was collected under Income Tax Ordinance, 2001.

Through Finance Act, 2020 the Section 236F of the Income Tax Ordinance, 2001 has been deleted.

The Section 236F was related to advance tax on cable operators and other electronic media, officials at Federal Board of Revenue (FBR) said on Thursday.

After the deletion of the section the advance tax under this has no more required to be collected from July 01, 2020.

The omitted section was as:

236F. Advance tax on cable operators and other electronic media.— (1) Pakistan Electronic Media Regulatory Authority, at the time of issuance of licence for distribution services or renewal of the licence to a licencee, shall collect advance tax at the rates specified in Division XIII of Part IV of the First Schedule.

(2) The tax collected under sub-section (1) shall be adjustable.

(3) For the purpose of this section, “cable television operator” “DTH”, “Distribution Service”, “electronic media”, “IPTV”, “loop holder”, “MMDS”, “mobile TV”, shall have the same meanings as defined in Pakistan Electronic Media Regulatory Authority Ordinance, 2002 (XIII of 2002) and rules made thereunder.

Division XIII of Part IV of the First Schedule

1) The rate of tax to be collected under section 236F in the case of Cable Television Operator shall be as follows:—

(License Category as provided in PEMRA Rules	Tax on License Fee	Tax on Renewal
H	Rs. 7,500	Rs. 10,000
H-I	Rs. 10,000	Rs. 15,000
H-II	Rs. 25,000	Rs. 30,000
R	Rs. 5,000	Rs. 12,000
B	Rs. 5,000	Rs. 40,000
B-1	Rs. 30,000	Rs. 35,000
B-2	Rs. 40,000	Rs. 45,000
B-3	Rs. 50,000	Rs. 75,000
B-4	Rs. 75,000	Rs. 100,000
B-5	Rs. 87,500	Rs. 150,000
B-6	Rs. 175,000	Rs. 200,000
B-7	Rs. 262,500	Rs. 300,000
B-8	Rs. 437,500	Rs. 500,000
B-9	Rs. 700,000	Rs. 800,000
B-10	Rs. 875,500	Rs. 900,000

(2) The rate of tax to be collected by Pakistan Electronic Media Regulatory Authority under section 236F in the case of IPTV, FM Radio, MMDS, Mobile TV, Mobile Audio, Satellite TV Channel and Landing Rights, shall be 20 per cent of the permission fee or renewal fee, as the case may be.]

“(3) In addition to tax collected under paragraph (2) Pakistan Electronic Media Regulatory Authority shall collect tax at the rate of fifty per cent of the permission fee or renewal fee, as the case may be, from every TV Channel on which foreign TV drama serial or a play in any language, other than English, is screened or viewed.”

July 17, 2020

Hafeez Shaikh directs FBR to pay income tax refunds of up to Rs50 million

KARACHI: Dr Abdul Hafeez Shaikh, Adviser to the Prime Minister on Finance and Revenue on Thursday directed Federal Board of Revenue (FBR) to make payment of all income tax refunds of up to Rs 50 million in the next couple of weeks.
(more…)

July 16, 2020
FBR reorganizes DG transit trade; authorizes tracking of NATO, ISAF cargo

ISLAMABAD: Directorate General of Transit Trade has been authorized to track cargo movement of Afghan transit, NATO/ISAF and transshipment in order to avoid incidence of en-route goods slippage.

Federal Board of Revenue (FBR) on Wednesday issued SRO 609(I)/2020 for reorganization of the Directorate General of Transit Trade.

The FBR said that the directorate shall be based at Custom House, Karachi, assisted by Director, Directorate of transit Trade (HQ), Karachi.

The directorate general shall have its regional offices at Karachi, Gwadar, Quetta, Peshawar, Gilgit-Baltistan and Lahore. The director general shall report to the Member (Customs), FBR.

The directorate general of transit trade shall be responsible for enforcement of all the international agreements, treaties, conventions, domestic laws, rules and procedures relating to transit trade with reference to cross border movement of bonded cargo and domestic laws, rules and procedures relating to transshipment with reference to inland movement of bonded cargo and shall also be responsible for enforcement of laws, rules and procedures relating to international transshipment, through the respective directorates and collectorates.

The directorate general shall also supervise functioning of the directorates, furnish policy input to the FBR on matters relating to transit trade and transshipment and maintain liaison with all stakeholders.

The Director, Directorate of Transit Trade (HQ) Karachi shall have jurisdiction over all customs matters relating to transit, transshipment and allied functions in respect of the national territory of whole of Pakistan covering the following functions and customs matters:

(i) Project Director in terms of SRO 4139i0/2012 dated April 25, 2012.

(ii) Supervision of tracking and monitoring across the national territory through the Central Control Room (CCR), established at Custom House, Karachi, in coordination with Regional Control Rooms (RCRs) established at respective directorates of transit trade of the following cargo:

(a) Transit cargo;

(b) POL products exported to Afghanistan;

(c) US or NATO or ISAF cargo;

(d) Transshipment cargo;

(e) Safe transportation cargo;

(f) EPZ/SEZ/Free Zones cargo;

(g) Manufacturing bonds exports cargo;

(h) Export oriented units exports cargo;

(i) Transportation of imported liquid bulk cargo for exclusive use of ISAF/NATO forces in Afghanistan.

(iii) Administration, budgeting and supervision of the Mobile Enforcement Units (MEUs) deployed at Transit Monitoring Response Centers (TMRCs) across the country;

(iv) Sealing of cargo at Karachi sea ports and Port Qasim with respect to the following cargo:

(a) Transit cargo;

(b) POL products exported to Afghanistan;

(c) US or NATO or ISAF cargo;

(d) Transshipment cargo;

(e) Safe transportation cargo;

(f) EPZ/SEZ/Free Zones cargo

(g) Manufacturing bonds exports cargo;

(h) Export oriented units exports cargo;

(i) Transportation of imported liquid bulk cargo for exclusive use of ISAF / NATO forces in Afghanistan.

(v) Licensing of tracking companies in terms of SRO 413(I)/2012 dated April 25, 2012;

(vi) Development, supervision and maintenance of transit trade facilitation portal including coordination with the relevant stakeholders.

(vii) Development, supervision and updation of Risk Management System (RMS) through the local committee constituted for transit and transshipment RMS, including coordination with the relevant stakeholders;

(viii) Association in development, updation and enhancement of MIS function;

(ix) Personal management;

(x) Coordination with all stakeholders for operational purposes;

(xi) Business process re-engineering;

(xii) Transit trade facilitation and redressal of complaints; and

(xiii) Any other function assigned by the FBR from time to time.

July 16, 2020