By Ali Imran
ISLAMABAD: All Pakistan Anjuman-e-Tajiran (APAT) on Wednesday held a protest, seeking a presidential ordinance to “end corruption” in the Federal Board of Revenue (FBR) and rejecting Point of Sales (PoS) integration.
“We will continue our protest till an ordinance is passed to end corruption in FBR,” the traders said, who marched towards FBR under trade leader Ajmal Baloch.
The traders said it was crucial to nullify the “black laws” imposed through a presidential ordinance, which, according to the government, has been imposed to broaden the tax base. The government seeks to impose withholding tax through electricity bills on professionals undertaking their assignments from home. It also seeks for traders to be integrated with the FBR through the installation of PoS devices.
Additionally, with the promulgation of The Tax Laws (Third Amendments) Ordinance 2021 for broadening of the tax base on September 17, the government has granted sweeping powers to the FBR for disconnection of mobile phones SIMs, electricity, and gas connection of non-filers. The National Database and Registration Authority (NADRA) will share information with the FBR and potential tax dodgers will be identified through the use of Artificial Intelligence (AI), as per the report.
“The government has also given powers to the FBR to discontinue gas and electricity connections of persons, including tier-1 retailers who are either not registered or if registered, they are not integrated in terms of Section 3(9A) of the Sales Tax Act 1990,” the report said. Two days ago, the FBR had clarified that “the Point of Sale (POS) integration with the FBR, sales tax registration, and imposition of enhanced withholding tax have nothing to do with small traders”.
It further said that the enhanced withholding tax slapped through the presidential ordinance and collected through electricity bills will not be applicable to commercial consumers.
However, the protesting traders demanded that all the powers granted to the FBR through the ordinance be withdrawn. They further said they would not, at any cost, allow the installation of POS devices and that they have rejected the registration of traders for sales tax.
“The powers granted to FBR through the ordinance should be taken back traders are not educated, therefore, they should not be spoken to in technical terms,” the traders demanded. Last week, in an informal conversation with journalists, FBR spokesperson Asad Tahir had said that no strict action will be taken against traders but said that after 15 days, show-cause notices will be issued to traders who do not have PoS systems installed.
“Failure to install PoS will result in a fine worth Rs500,000 after 15 days,” the spokesman had said, adding that if traders apply PoS in 15 days, the fine will be waived off.