ISLAMABAD – The Federal Board of Revenue (FBR) has assured the All Pakistan Traders Association that no tax will be deducted on bank deposits of up to Rs200,000, rejecting the rumours circulating on social media for days.
This commitment was made during a recent meeting between FBR officials and a delegation of trader representatives.
FBR also clarified that digital invoicing will not be applied to small traders and retailers. Instead, it will be implemented gradually and only on business-to-business transactions involving sales tax-registered companies.
Additionally, trader representatives will be included in the digitalization committee to ensure transparency and cooperation.
According to the FBR, provisions under Sales Tax Act Sections 37A and 37B will not apply to small traders.
Furthermore, no large industrialist will be arrested under these provisions. The purpose of these legal clauses, FBR emphasized, is solely to prevent the use of fake invoices.
It was also agreed during the meeting that a separate session will be held to develop a new mechanism to address concerns about customs raids in marketplaces.
In a positive move towards consensus, FBR confirmed it will consult trader representatives before making any reforms regarding mobile phone taxation.
Trader leaders including Kashif Chaudhry, Khawaja Salman Siddiqui, and Sharjeel Mir presented their stance on the current tax system during the discussions.
They reiterated that they will not accept what they described as “oppressive taxation.”
