FBR asks business community to draft budget proposals for eliminating sales tax frauds
ISLAMABAD: Federal Board of Revenue (FBR) on Monday invited the business community to send their proposals for budget 2017-18 related to indirect taxes, which should be pro-revenue. The business community has been asked to formulate their proposals to eliminate tax fraud and fake and flying invoices.
In a letter sent to all the chambers of commerce and industry, the FBR invited the proposals relating to sales tax and federal excise on the following parameters:
i. The budgetary proposals should be pro-revenue;
ii. The proposals should focus on broadening the tax base and increase in revenue;
iii. Amendments may be suggested in any of following law/rules etc:
(a) Sales Tax Act, 1990
(b) Federal Excise Act, 2005
(c) Sales Tax Rules, 2006
(d) Federal Excise Rules, 2005
(e) Sales Tax Special Procedure Rules,2007
(f) Sales Tax Special Procedure (Withholding) Rules, 2007
(g) Sales Tax Notifications/Circulars/General Orders/Clarification/Rules
(h) Federal Excise Notifications/Circulars/General Orders/Clarification/Rules
iv. Amendments may be suggested with a view to achieve simplification, remove difficulties and anomalies, and to abolish any outdated/obsolete provisions;
v. Wherever possible a draft proposed amendment/procedure may be enclosed along with revenue impact;
vi. FBR would specially welcome proposals for eliminating tax fraud, fake and flying invoices, plugging loopholes if any, facilitating genuine taxpayers and making the procedures transparent.
vii. The proposals should be made keeping in view the consequences for the other related trade groups which might be adversely affected by the proposed measure.
The FBR asked the business community to submit their proposals by January 31, 2017.