ISLAMABAD: Federal Board of Revenue (FBR) has submitted instructions to the chief commissioners for compilation of budget proposals including taxation of e-commerce in coming budget.
The taxation of e-commerce would be considered in the budget (2017-18) as a revenue generation measure of the Federal Board of Revenue (FBR).
For the first time a Tax Policy Conference would be held in FBR to draft budget proposals for 2017-18. The idea of Tax Policy Conference is a new concept in the FBR during budget preparation exercise. Sources said that the electronic-commerce is a new feature of the global economy. The e-commerce covers a wide range of areas including business activities taking place through internet, online shopping, online trade and other electronic transactions through internet etc.
A successful tax policy for e-commerce must ensure that businessmen can see the link among their business, its profits or turnover and the corresponding income or consumption taxes. Tax laws or regulations not understood by the business community or individual taxpayers must be avoided.
