ISLAMABAD: The Federal Board of Revenue (FBR) on Wednesday invited income tax proposals for budget 2021/2022 and asked stakeholders to submit the same by February 15, 2021.
The FBR has asked tax offices, including large taxpayers offices (LTOs), medium tax offices (MTOs), corporate tax offices (CTOs) and regional tax offices (RTOs), as well as traders and industrialists that the proposals should focus on broadening the tax base for a wide participation in revenue generation efforts.
The FBR advised that suggestions should be communicated in following policy areas: broadening of tax base; taxation of real income on progressive basis; phasing out of tax concessions and exemptions; removal of tax distortions and anomalies; facilitation of taxpayers and ease of doing business; and promotion of equity in taxation by introducing measures where incidence of tax is higher on affluent classes.
The stakeholders have also been asked to provide proposals in a prescribed formation that should include relevant sections/clauses or rules where amendment is sought. The proposals related to any section of Income Tax Ordinance, 2001, or any rule to Income Tax Rules, 2002, should be presented along with rationale and revenue impact.