ISLAMABAD: The Chairman of Technical Committee of Federal Board of Revenue (FBR), which was constituted by the Advisor to the Prime Minister on Finance and Revenue to create a taxpayer friendly environment, has invited suggestions for improving various functions of the tax machinery.
Abid Shaban, Chairman, FBR’s Technical Committee, in a communication on Friday said that the government placed great importance on taking measures, which would boost exports, speed up the process of industrialization, encourage local manufacturing, wealth creation and promote a tax culture in the country.
Facilitating taxpayers, ensuring tax compliance and enabling greater ease in compliance, and increasing the collection of legitimate tax revenues for the development of the country are high priority for the government, he said.
The chairman sought suggestions from stakeholders on the Terms of Reference (TOR) while stating problems, proposing a solution to the problem and listing possible benefits (including cost benefit) of the suggestions / ideas.
The TOR of the technical committee are:
(i) Identify distortion, anomalies and inequalities in the taxation system which cause difficulties for taxpayers, or which discourage investment, industrialization and documentation, and propose solutions.
(ii) Propose measures to reduce the dependence on withholding taxes, minimum tax, advance tax etc.
(iii) Propose measures for simplification of all taxation procedures, in a manner which does not compromise revenue collection and documentation.
(iv) Propose improvement in the temporary importation and manufacturing bond schemes in order to enhance their scope and facilitate direct and indirect exporters throughout the value chain.
(v) Identify issues hindering smooth processing of refund claims through the FASTER system. Propose amendments in the procedures or threshold to sales tax refund of various sub-sectors of exporters, and
(vi) Propose remedies for issues relating to adjustment of input tax paid against services subjected to sales tax by the provinces.
