ISLAMABAD: The Federal Board of Revenue (FBR) is likely to issue a circular for the field officers to ensure tax collection according to SRO No 126(1)/2015.
The SRO increased withholding tax rates for non-filers in respect of imports and services under sections 148 and 153 (1)(b), respectively, but the field officers of the Federal Board of Revenue (FBR) have not started to collect withholding tax in accordance with the new tax rates prescribed in the said SRO even after four days of the issuance of the SRO.
Non-filers corporate service providers are liable to pay 12 percent income tax and non-corporate service providers are liable to pay 15 percent tax.
The companies providing services (non-filers of income tax returns) are liable to pay 12% tax as compared to 8% for filers of returns and non-corporate service providers are liable to pay 15% tax against 10% for non-corporate service providers filing returns.
A dire need for a circular was being felt so that FBR field officers could be educated about the objectives and aims of the said SRO because they were not following the SRO in its true spirit.
Feeling the public pulse, the top management of the FBR adopted a proactive approach and held internal consultations on possibilities of issuance of a circular so that field officers could be mobilised to collect tax in accordance with new rates specified in the above SRO.
