ISLAMABAD: The government has proposed new powers for the Federal Board of Revenue (FBR) to seal shops and business premises for issuing three non-certified electronic receipts in a single day.
These powers are sought under the Sales Tax Act to raise Rs70 billion in taxes in the next fiscal year 2024-25, according to the chairman of FBR in a briefing to the Senate Standing Committee on Finance and Revenue.
The committee, chaired by Senator Saleem Mandviwalla, met to finalise recommendations on the Finance Bill 2024.
The committee also suggested mandatory acceptance of debit and credit cards by shops to reduce the cash-based economy. The FBR chairman said that businesses refusing to accept credit or debit card payments will face strict actions, including the sealing of the premises.
He indicated a potential reversal of the 10% sales tax on stationery and books following the committee’s recommendation.
The FBR chairman highlighted the government’s proposal to tighten the monitoring and legal system to curb tax evasion. Shops failing to issue three Point of Sale (POS) verified invoices in a single day or five in a week may face closure.
The government plans to hire firms to provide and maintain POS-related software solutions, holding them accountable for malfunctions.
