ISLAMABAD: The Federal Board of Revenue (FBR) has introduced a new tracking system ‘Electronic Monitoring of Production Volume’ for getting real time production figures of manufacturing companies.
Sources said that the FBR was facing a decline in sales tax collection at the stage of manufacturing as the production was reported less than the actual figures.
The sources added that system of electronic monitoring of production has the potential of quantum leap in sales tax collection by reducing the tax gap, adding that the system worked on self-assessment basis, therefore, production processes could not be monitored manually as manual supervision was not an effective tool of ensuring accurate production.
It is also to mention here that FBR has approved equipment which was being installed at manufacturing places.
