Update
Sindh Revenue Board (SRB) has denied rumors of imposing a 15 percent sales tax on services paid via debit and credit cards at hotels and restaurants. An SRB spokesperson said that the actual sales tax rate for such transactions remains at 8 percent.
The government of Sindh has reinstated a 15 percent service tax on debit and credit card payments at restaurants and cafes to address revenue shortfall.
Previously, the provincial government had reduced the said tax to 8 percent. However, it has been increased to 15 percent once again.
According to details, the Sindh Revenue Board has authorized 58 establishments in Karachi to apply the increased tax rate of 15 percent.
The government has reinstated the higher tax to address revenue shortfall and improve tax compliance in the hospitality industry.
Earlier, the tax was lowered to tempt consumers into spending more and support the hospitality industry amid the challenging economic situation.
The increase in tax means that the customers will have to pay higher costs and could influence spending habits, leading to a decrease in sales.
Revenue collection from card payments is a major contributor to the overall tax collection and will help address revenue gaps.
Appeal to all MNAs/MPAs /Senators of Pakistan.
Many old registered/admiitted but still non enrolled law students of last 03 years LLB degree programme session 2018-19 who have passed graduation in 2018 but before admission, are crying for enrolment since last five years but no response by VC Sindh University Hyderabad and BZU ,Multan .Moreover, all other universities had accommodate all old registered law students, except by VC SU Hyderabad and VC BZU Multan, hence this appeal to pass Resolution to allow old registered law students to complete their remaining law education, on all old fees /vouchers. Regards .
Restaurants are already charging 15% on cards with the reason that their system/application don’t have the option to reduce applicable taxes on card payment. Via this action they simply making money because in FBR the can submit as per the applicability. Happen with me many times and upon intimation staff simply said at the day end they need to submit the amount via their own pocket to ensure the balance as per system. Now atleast due to same percentage of tax on cash & cards it ultimately will go to government. Buttttttt how that can payback to tax payer is still question mark?
Brother ye sab involved Hain corruption main or ye Jo bhi tax Hain bas ye wo jama kr K bhagny walay Hain q k imf kbhi bhi apna pesa mang sakte hai to ye unhy Pura mulk dekar farar hongay Sindh government sirf Chor hai Chor
Instead of promoting digital payments and compensating at least filers increasing tax on food is injustice and discouragement.
Writer seems to be in sleep mode when writing the article. First para says tax levied is 8% and the next para says it’s 15%. Crazy 🤣
One paragraph you say, tax not imposed.
In other paragraph you say, tax imposed.
Who is editing your content? Rubbish
Well by increasing tax on credit and debit cards it would certainly discourage foodies to enforce a check on their hotelling habits which would in turn reduce tax collection …..
A food for thought 🤔
This will encourage cash payment without tax wherever possible.
Incentive to cardholders was to bring transaction to books.
Cash transaction is easy to avoid tax