ISLAMABAD: Federal Board of Revenue (FBR) sought detail report from all field formations regarding tax collection from offshore digital services by a non-resident including Google and YouTube and from non-resident technical services providers during July 2018.
Sources told Customs Today that the board has received credible information regarding the tax evasion on fee from offshore digital services by a nonresident which cause revenue shortfall. The board has started investigation and directed all the field formations to examine the data of all offshore digital services by a nonresident including Google and YouTube and submit a comprehensive report to the board.
It is important to mention here that FBR has been imposed 15 percent tax on fees for offshore digital services by a nonresident for online advertising including digital advertising space, designing, creating, hoisting or maintenance of website; digital or cyber space for websites, advertising, email, online computing, blogs, online content and online data, providing any facility or service for up loading to bring Google and other internet web providers under the tax net and this tax incidence will be charged from those outsiders who are making billions of rupees profit from Pakistan.
