LAHORE: Traders are adopting different strategies to avoid the registration under the controversial SRO 608 issued by the Federal Board of Revenue (FBR).
Retailers including electronics retailers, grocery retailers and others were not accepting the credit or debit card of customer for payments as they have removed the machines to avoid the registration with the FBR. Retailers were accepting only cash from consumers against their purchasing.
A trader said, “We have adopted this strategy to avoid the effect of the SRO-608 that has bounded the retailers to register with sales tax. He said the government should draw the policies keeping in view the reservations of community.
As per SRO-608, “retailers falling in any of the following categories shall be required to be registered as a retailer under the Act, in the manner specified in Chapter I of the Sales Tax Rules 2006:-
(a) A retailer operating as a unit of a national or international chain of stores;
(b) A retailer operating in an air-conditioned shopping mall, plaza or centre, excluding kiosks;
(c) A retailer who has a credit or debit card machines;
(d) A retailer whose cumulative electricity bill during the immediately preceding twelve consecutive months exceeds rupees six hundred thousand: and
(e) A wholesaler-cum-retailer, engaged in bulk import and supply of consumer goods on wholesale basis to the retailers as well as on retail basis to the general body of the consumer”.
It is important to mention that traders have been raising voices against the controversial SRO. Lahore Chamber of Commerce and Industry, Islamabad Chamber of Commerce and industry and other chambers also have urged the FBR to withdraw the SRO-608 to save the business community. On the other hand, the FBR has not taken any action regarding the withdrawal of the said rule.
