ISLAMABAD: The Federal Board of Revenue (FBR) has designated 34 banks as withholding agents to facilitate the deduction and collection of withholding taxes under the ‘Synchronized Withholding Administration and Payment System’ (SWAPS). The announcement was formalized through SRO.2041(I)/2024 issued on Tuesday.
According to the FBR, these banks will integrate with the SWAPS portal to streamline tax processes under sections 153(1)(a) and 153(1)(b) of the Income Tax Ordinance, 2001. However, until a specific date is notified for SWAPS activation, these banks will continue to operate under the existing withholding tax regime.
### List of Withholding Agents:
The banks designated as withholding agents include:
1. Al Baraka Bank (Pakistan) Limited
2. Allied Bank Limited
3. Askari Bank Limited
4. Bank Al-Falah Limited
5. Bank Al-Habib Limited
6. Bank Islami Pakistan Limited
7. Bank of China Limited
8. Citi Bank N.A.
9. Deutsche Bank AG
10. Dubai Islamic Bank Pakistan
11. Faysal Bank Limited
12. First Women Bank Limited
13. Habib Bank Limited
14. Habib Metropolitan Bank Limited
15. Industrial and Commercial Bank of China
16. Industrial Development Bank of Pakistan Limited
17. JS Bank Limited
18. MCB Bank Limited
19. MCB Islamic Bank Limited
20. Meezan Bank Limited
21. National Bank of Pakistan
22. Punjab Provincial Cooperative Bank Limited
23. Samba Bank Limited
24. Silk Bank Limited
25. Sindh Bank Limited
26. SME Bank Limited
27. Soneri Bank Limited
28. Standard Chartered Bank (Pakistan) Limited
29. Summit Bank Limited
30. The Bank of Khyber
31. The Bank of Punjab
32. United Bank Limited
33. Zarai Tarqiati Bank Limited
34. State Bank of Pakistan
The SWAPS system aims to modernize tax collection by synchronizing withholding processes across designated agents. This initiative is expected to enhance transparency and efficiency in tax administration, ensuring compliance with updated regulations.
The FBR will notify the date for the full integration of SWAPS at a later stage. Until then, these agents will adhere to the current withholding mechanism for tax deduction and deposit.
