Hyderabad, February 12, 2025 – The Regional Tax Office (RTO) Hyderabad on Wednesday took decisive action against tax fraud by sealing three branches of a well-known bakery in Hyderabad for issuing fake invoices.
(more…)Tag: point of sales
-
RTO-1 Karachi Seals 19 Retail Outlets for POS Violations
Karachi, December 28, 2024 – The Regional Tax Office (RTO)-1 Karachi has undertaken a stringent crackdown on retail outlets violating Point of Sale (POS) regulations, sealing 19 establishments and recovering approximately Rs 25.5 million in penalties.
(more…) -
FBR Issues Notices to 1,680 Retailers for POS Integration
Islamabad, April 23, 2024 – The Federal Board of Revenue (FBR) took a significant step towards enhancing tax compliance by issuing a directive for the mandatory integration of 1,680 Tier-1 retailers into its Point of Sale (POS) system.
(more…) -
FBR Seals Ghani Sons Branches for POS Violation
Karachi, December 13, 2023 – The Federal Board of Revenue (FBR) has sealed multiple branches of Ghani Sons, a prominent uniform manufacturer, for violating Point of Sale (POS) regulations.
(more…) -
FBR detects big retailers for online integration of transactions
ISLAMABAD: Federal Board of Revenue (FBR) has detected about 89 big retailers for a compulsory integration of their transactions.
FBR in this regard issued Sales Tax General Order (STGO) No. 05 of 2023 for Tier-1 retailers to integrate their businesses with the FBR’s Point of Sale (POS) System.
According to Sales Tax Act, 1990 updated up to August 22, 2022, the definition of Tier-1 Retailer is:
“Tier-1 retailer” means a retailer falling in any one or more of the following categories, namely:-
(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”;
(e) a retailer, whose shop measures one thousand square feet in area or more or two thousand square feet in area or more in the case of retailer of furniture;
(f) a retailer who has acquired point of sale for accepting payment through debit or credit cards from banking companies or any other digital payment service provider authorized by State Bank of Pakistan;
(g) a retailer whose deductible withholding tax under sections 236G or 236H of the Income Tax Ordinance, 2001 (XLIX of 2001) during the immediately preceding twelve consecutive months has exceeded the threshold as may be specified by the Board through notification in the official Gazette; and
(ga) a person engaged in supply of articles of jewellery, or parts thereof, of precious metal or of metal clad with precious metal excluding a person whose shop measures three hundred square feet in area or less;
(h) any other person or class of persons as prescribed by the Board.
The latest STGO stated that the Finance Act, 2019 added sub-section (6) to section 8B of the Sales Tax Act, 1990 whereby a Tier-1 Retailer “(T -lR)” who did not integrate its retail outlet in the manner prescribed under sub-section (9A) of section 3 of the STA, 1990 during a tax period, its adjustable tax for that period would be reduced by 15 per cent.
The figure of 15 per cent has been raised to 60 per cent vide Finance Act, 2021.
In order to operationalize this important provision of law, a system-based approach has been adopted whereby all T-IRs who are liable to integrate but have not yet integrated, with effect from July-2021 (Sales Tax Returns filed in August, 2021) are to be dealt with as per the procedure laid down in STGO No.1 of 2022 issued on August 03, 2021.
Vide the instant Sales Tax General Order, a list of 89 identified T-IRs has been placed on FBR’s web portal at www.tbr.gov.pk allowing them to integrate with FBR’s system by December 12, 2022 and the procedure of exclusion from this list of 89 identified T-1Rs shall apply as laid down in STGO No. 17 of 2022 dated 13.05.2022.
Upon filing of Sales Tax Return for the month of November, 2022 for all hereby notified T-1Rs not having yet integrated, their input tax claim would be disallowed as above, without any further notice or proceedings, creating tax demand by the same amount.
-
FBR halts POS prize scheme
ISLAMABAD: Federal Board of Revenue (FBR) on Tuesday halted the issuance of prizes through computerized balloting of invoices issued by point of sale (POS) of Tier-1 retailers.
The FBR suspended the draw that was to be held on November 15, 2022. The prize scheme was continuously held since its first draw on January 15, 2022. The FBR conducted 10 draw on 15th of every month.
READ MORE: FBR announces prize winners of 10th POS balloting
The FBR issued SRO No. 2042(I)/2022 to suspend the SRO 1005 of 2021 regarding POS Prize Scheme.
The prize scheme has been suspended till January 31, 2023 to make it more inclusive and participatory for the public. All invoices verified during intervening period will be included in the next prize draw.
“The new scheme will be launched after discussions with Tier-1 retailers, card acquirers, issuers, and other stakeholders. A new scheme would be launched very soon,” the FBR added.
Under the suspended scheme, the FBR had encouraged people to actively participate in the balloting to win prizes after buying from POS integrated retailers.
READ MORE: FTO directs stop unlawful recovery from taxpayers’ bank accounts
The FBR previously issued a procedure for participating in the prize scheme.
The revenue body said that the customers of the integrated tier-1 retailers, whose names and CNICs are notified through random computerized draw shall be entitled to prizes in respect of their purchases from the integrated tier-1 retailers.
The customers shall verify the electronically generated invoice of integrated retailers either through the “tax asaan” application or by sending SMS to number 9966.
The application shall notify the customer regarding the status of the invoice either as “verified” or “unverified”.
In case of a verified invoice, the customer shall furnish one time, the following detail to the online system, namely:- Name; CNIC; and Mobile number.
READ MORE: FBR collects Rs196 billion as income tax from salaried class
Names and CNICs of the customers shall be included in the random computerized draw upon fulfillment of the requirement.
In case of an unverified invoice, the customer shall report the same through the system. The Board shall conduct inquiry and take appropriate action under the relevant provisions of law.
The computerized draw for the prizes shall be held in the first week of every month at the FBR Headquarters and the invoices of the immediately preceding month shall be entered in the draw.
READ MORE: WHT share in direct taxes jumps to 67% despite omitting provisions
Draw winners shall be required to perform biometric verification, at the nearest e-sahulat facility of NADRA and submit a scanned copy on the “tax assan” application. After successful biometric verification, winners shall be required to provide their IBAN through a “tax asaan” application.
The total prize money and the denomination of the prizes shall be decided on month to month basis by the Board.
-
FBR announces prize winners of 10th POS balloting
ISLAMABAD: Federal Board of Revenue (FBR) on Saturday announced prize winners of 10th balloting of invoices issued by point of sales (POS) of big retailers.
According to the FBR, the bumper prize of Rs1,000,000 has been awarded to Muhammad Imran on the invoice issued by Super Drugs.
READ MORE: FTO directs stop unlawful recovery from taxpayers’ bank accounts
The FBR announced winners of two second prizes of Rs500,000 each to Khawaja Fahd Naveed on the invoice issued by Bread and Beyond and Muhammad Yasir Ehsan on the invoice issued by Clinix.
Similarly, the four winners of third prize amounting Rs250,000 each have been awarded to Faiz Ahmed, Shahiryar khalid, Muhammad Sufyan and Mohsin Hassan.
The FBR conducts computerized balloting of invoices issued by Tier-1 retailers on every 15th day of a month. This was ninth draw as it was started in January 15, 2022.
READ MORE: FBR collects Rs196 billion as income tax from salaried class
The FBR encouraged people to actively participate in the balloting to win prizes after buying from POS integrated retailers.
The FBR previously issued a procedure for participating in the prize scheme.
The revenue body said that the customers of the integrated tier-1 retailers, whose names and CNICs are notified through random computerized draw shall be entitled to prizes in respect of their purchases from the integrated tier-1 retailers.
The customers shall verify the electronically generated invoice of integrated retailers either through the “tax asaan” application or by sending SMS to number 9966.
READ MORE: WHT share in direct taxes jumps to 67% despite omitting provisions
The application shall notify the customer regarding the status of the invoice either as “verified” or “unverified”.
In case of a verified invoice, the customer shall furnish one time, the following detail to the online system, namely:- Name; CNIC; and Mobile number.
Names and CNICs of the customers shall be included in the random computerized draw upon fulfillment of the requirement.
In case of an unverified invoice, the customer shall report the same through the system. The Board shall conduct inquiry and take appropriate action under the relevant provisions of law.
The computerized draw for the prizes shall be held in the first week of every month at the FBR Headquarters and the invoices of the immediately preceding month shall be entered in the draw.
Draw winners shall be required to perform biometric verification, at the nearest e-sahulat facility of NADRA and submit a scanned copy on the “tax assan” application. After successful biometric verification, winners shall be required to provide their IBAN through a “tax asaan” application.
The total prize money and the denomination of the prizes shall be decided on month to month basis by the Board.
-
FBR directs 85 big retailers to integrate businesses
ISLAMABAD: Federal Board of Revenue (FBR) has directed 85 big retailers to integrate their businesses with the Point of Sale (POS) system.
In this regard, the FBR issued Sales Tax General Order (STGO) No. 04 of 2023 regarding mandatory integration of Tier-1 retailers with the FBR’s POS System.
The revenue body said that the Finance Act, 2019 added sub-section 6 to section 8B of the Sales Tax Act, 190 whereby a Tier-1 Retailer who did not integrate its retail outlet in the manner prescribed under sub-section 9A of Section 3 of the Sales Tax Act, 1990 during a tax period, its adjustable tax for the period would be reduced by 15 per cent. The figure of 15 per cent has been raised to 60 per cent through Finance Act, 2021.
READ MORE: FBR issues one million tax notices to enforce compliance
The FBR further stated that in order to operationalize the important provision of law, a system-based approach has been adopted whereby all T-IRs who are liable to integrate but have not yet integrated, with effect from July 2021 (Sales Tax returns filed in August, 2021) are to be dealt with as per the procedure laid down in STGO No. 1 of 2022 issued on August 3, 2021.
READ MORE: FBR unveils plan to achieve Rs7.47 trillion revenue collection target
Through latest STGO, the FBR issued a list of 85 Tier-1 retailers, directing them to integrate with the FBR system by October 10, 2022 and the procedure of exclusion from this list of 85 identified Tier-1 Retailers shall apply as laid down in STGO 17 of 2022 issued on May 13, 2022.
READ MORE: Customs officer awarded major penalty of rank demotion
Upon filing of sales tax return for the month of October 2022 for all hereby notified Tier-1 retailers not having yet integrated, their input tax claim would be disallowed as above, without any further notice or proceedings, creating tax demand by the same amount.
-
FBR announces prize winners of 9th POS balloting
ISLAMABAD: Federal Board of Revenue (FBR) on Thursday announced prize winners of 9th balloting of invoices issued through Point of Sales (POS) installed by big retailers.
According to the FBR, the bumper prize of Rs1,000,000 has been awarded to Asfar Imam on the invoice issued by Rehmat e Shereen.
READ MORE: FBR announces prize winners in eighth draw of POS invoices
The FBR announced winners of two second prizes of Rs500,000 each to Irum Abid on the invoice issued by PCC Express and Abdul Qadir on the invoice issued by Imtiaz Provision Store.
Similarly, the four winners of third prize amounting Rs250,000 each have been awarded to Muhammad Imtiaz, Muhammad Aman Ullah Khan, Aamir Hasib Malik and Nadeem Hassan Gohar.
The FBR conducts computerized balloting of invoices issued by Tier-1 retailers on every 15th day of a month. This was ninth draw as it was started in January 15, 2022.
READ MORE: FBR announces prize winners of 7th draw of POS invoices
The FBR encouraged people to actively participate in the balloting to win prizes after buying from POS integrated retailers.
The FBR previously issued a procedure for participating in the prize scheme.
The revenue body said that the customers of the integrated tier-1 retailers, whose names and CNICs are notified through random computerized draw shall be entitled to prizes in respect of their purchases from the integrated tier-1 retailers.
The customers shall verify the electronically generated invoice of integrated retailers either through the “tax asaan” application or by sending SMS to number 9966.
READ MORE: 101 retailers given July 10 as deadline for integration
The application shall notify the customer regarding the status of the invoice either as “verified” or “unverified”.
In case of a verified invoice, the customer shall furnish one time, the following detail to the online system, namely:- Name; CNIC; and Mobile number.
Names and CNICs of the customers shall be included in the random computerized draw upon fulfillment of the requirement.
In case of an unverified invoice, the customer shall report the same through the system. The Board shall conduct inquiry and take appropriate action under the relevant provisions of law.
The computerized draw for the prizes shall be held in the first week of every month at the FBR Headquarters and the invoices of the immediately preceding month shall be entered in the draw.
READ MORE: Sindh integrates 56 restaurants for online tax monitoring
Draw winners shall be required to perform biometric verification, at the nearest e-sahulat facility of NADRA and submit a scanned copy on the “tax assan” application. After successful biometric verification, winners shall be required to provide their IBAN through a “tax asaan” application.
The total prize money and the denomination of the prizes shall be decided on month to month basis by the Board.
-
FBR directs 81 retailers to integrate with POS system
ISLAMABAD: The Federal Board of Revenue (FBR) on Thursday directed 81 retailers to integrate with the online system by September 10, 2022 otherwise action will be taken as per law.
The FBR issued Sales Tax General Order (STGO) No. 3 of 2023 related to Tier-1 retailers for integration with FBR’s Point of Sale (POS) system.
READ MORE: 101 retailers given July 10 as deadline for integration
The Finance Act, 2019 added sub-section (6) to section 8B of the Sales Tax Act, 1990 whereby a Tier-1 Retailers who did not integrate its retail outlet in the manner prescribed under sub-section (9A) of section 3 of the Sales Tax Act, 1990 during a tax period, its adjustable tax for that period would be reduced by 15 per cent. The figure of 15 per cent has been raised to 60 per cent vide Finance Act, 2021.
READ MORE: FBR issues list of 113 retailers for mandatory integration
In order to operationalize this important provision of law, a system-based approach has been adopted whereby all Tier-1 Retailers who are liable to integrate but have not yet integrated, with effect from July-2021 (Sales Tax Returns filed in August, 2021) are to be dealt with as per the procedure laid down in STGO No/ 1 of 2022 issued on August 3, 2021.
READ MORE: RTO-II Karachi seals electronics shop for integration failure
Vide the instant Sales Tax General Order, a list of 101 identified Tier-1 Retailers has been placed on FBR’s web portal allowing them to integrate with FBR’s system by July 10, 2022 an the procedure of exclusion from this list of 101 identified Tier-1 Retailers shall apply as laid down in STGO 17 of 2022 dated May 13, 2022.
READ MORE: RTO-II Karachi seals Baklava Palace for integration failure
Upon filing of Sales Tax Return for the month of June, 2022 for all hereby notified Tier-1 Retailers not having yet integrated, their input tax claim would be disallowed as above, without any further notice or proceedings, creating tax demand by the same amount.