ISLAMABAD: The Federal Board of Revenue (FBR) has extended the date of online integration of tier-1 retailers with computerised systems up to March 31.
In this regard, the FBR has written a letter to all inland revenue chief commissioners, including Large Taxpayers Units (LTUs) as well as Regional Tax Offices (RT0s), informing them that the department is pleased to condone the time limit as provided in sub-rule (2) of rule 150ZEA of Sales Tax Rules, 2006, up to March 31, 2020, for online integration of tier-1 retailers’ point of sales (PoS) with the board’s computerised system for real time reporting of sales subject to the condition that such tier-1 retailers furnish in writing their willingness to integrate all their PoS in terms of aforesaid rules to the respective RTOs / LTUs by March 15, 2020.
Tier1 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 including a retailer operating as a unit of a national or international chain of stores, operating in an air-conditioned shopping mall, plaza or centre, excluding kiosks, a retailer whose cumulative electricity bill during the immediately preceding twelve consecutive months exceeds Rs1,200,000, 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 a retailer, whose shop measures 1,000 square feet in area or more.
5,783 PoS of 286 retailers have been integrated with the tax system till January 2020. The FBR had prescribed electronic integration of PoS of all tier-1 retailers of textile and leather sector in budget 2018-19 in order to ensure correct reporting of sales by retailers and realisation of due tax from them.