The single sales tax return of the Federal Board of Revenue (FBR) for all provincial revenue authorities and boards is yet to be fully implemented.
Sources told ProPakistani that the provincial revenue authorities and boards are still requesting their taxpayers/service providers to file provincial sales tax returns as the FBR has not fully implemented the National Sales Tax Return.
On January 7, 2022, former Finance Minister Shaukat Tarin launched the National Sales Tax Return for all federal and provincial sales taxpayers with the resolve that it would promote standardization of taxability and tax rates and automatic input credit and refunds.
The FBR claimed that the launch of the National Sales Tax Return will minimize data entry, eliminate fake/flying invoicing, and will encourage harmonization of tax procedures, definitions, and principles between the federal government and the provinces. Taxpayers were required to file separate sales tax returns every month to each of the different collecting authorities where they conducted business, which was causing them hardship and increased compliance costs.
However, the messages of the provincial revenue authorities and boards to the service providers operating in their respective jurisdictions indicate that the FBR has not been able to enforce the said single return.
Follow ProPakistani on Google News & scroll through your favourite content faster!
Support independent journalism
If you want to join us in our mission to share independent, global journalism to the world, we’d love to have you on our side. If you can, please support us on a monthly basis. It takes less than a minute to set up, and you can rest assured that you’re making a big impact every single month in support of open, independent journalism. Thank you.