The Federal Board of Revenue (FBR) has suspended the digital proceeds tax on digitally ordered goods and services supplied from outside Pakistan, effective July 1, 2025, according to SRO 1366(I)/2025 issued on Wednesday.
The new directive states that the Digital Proceeds Tax Act 2025 will not apply to digitally ordered goods and services imported from abroad, as per the notification issued by FBR. This decision follows the powers conferred by Section 15 of the Digital Presence Proceeds Tax Act 2025.
The suspension of this tax is set to take effect starting July 1, 2025, signaling a significant shift in Pakistan’s approach to taxing e-commerce and online services.