President imposes new penalties on non-tax filers

President Arif Alvi has enforced new tax laws that would allow the relevant authorities to disconnect mobile phones/SIMS, electricity and gas connections of persons who are not on the Active Taxpayer List (ATL).  

Tax Laws (Third Amendment) Ordinance 2021 has been implemented by the president to broaden the tax net. It would require the Federal Board of Revenue (FBR) to share its data with the National Database and Registration Authority (NADRA).

The Ordinance contains a fine worth Rs 1,000/- per day for persons who do not file tax returns.

Penalties have been increased for tier-1 retailers who are not integrated with the FBR and an additional advance tax on rates ranging from 5 per cent to 35pc has been imposed on professionals using domestic electricity connections. 

Article continues after this advertisement

The Ordinance also contains a 16pc reduction on sales tax on supplies made by POS integrated outlets. Additionally, a 14pc reduction on meltable scrap imported by steel melters, a 5pc reduction on import of electric vehicles on Completely Built Up (CBU) condition and a 16.9pc sales tax reduction on business-to-business digital transactions.

Under the Ordinance, income tax exemption is granted on foreign remittances received through foreign currency accounts of Overseas Money Service Bureaus (MSB), Exchange Companies (ECs), and Money Transfer Operators (MTOs).

Right of appeal to importers against valuation ruling with the FBR Member Customs Policy has been added in the Ordinance. 

 

- Advertisement -

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisement -

Must Read

Audit finds massive irregularities in PSQCA finance dept

ISLAMABAD: With the Pakistan Standard and Quality Control Authority (PSQCA), an attached department of Ministry of Science and Technology (MoST), under criticism for corruption...