The Federal Board of Revenue (FBR) has proposed increasing the fee on invoices at Point of Sale (POS) systems from the current Rs. 1 in the upcoming Federal Budget 2024-25.
To ensure compliance, a special audit is proposed for retailers who have not yet registered themselves on the POS system, FBR sources informed ProPakistani.
Key proposals include expanding the scope of the Track and Trace system by incorporating the tiles sector and granting additional powers to the Directorate General of Digital Invoices. According to sources, the tax machinery aims to comprehensively document key business supply chains in the forthcoming budget.
Additionally, a single sales tax return for businesses is being considered for the next fiscal year, along with simplifying the tax filing process. The proposals also include plans to monitor suppliers of unregistered traders in the sales tax system, enhancing oversight and compliance within the market.
In December 2023, FBR made it mandatory for integrated suppliers to declare all their outlets through the computerized system and register each POS to activate the integration.
Many industry players and chambers opposed this move. A month after FBR first issued its order, the Lahore Chamber of Commerce and Industry (LCCI) urged the regulator to revisit its recent ruling.
Since then, FBR has done little to manage the situation better. With these proposals most likely to be implemented in next week’s budget reveal, the retail landscape looks set for another tough fiscal year.
