"Expected: FBR to Raise Service Charges on POS Invoices Starting July 2024"
The Federal Board of Revenue (FBR) is proposing an increase in the fees levied on invoices generated through Point of Sale (POS) systems. Currently set at Rs. 1, the proposed hike is anticipated to feature in the upcoming Federal Budget for 2024-25. To enforce compliance, FBR is contemplating a special audit targeting retailers not yet registered on the POS system,
Among the key suggestions is an expansion of the Track and Trace system to include the tiles sector, alongside bolstering the authority of the Directorate General of Digital Invoices. FBR aims to comprehensively document vital business supply chains in the upcoming budget. Additionally, a unified sales tax return for businesses and streamlining tax filing processes are under consideration for the next fiscal year. Plans also entail monitoring suppliers linked with unregistered traders within the sales tax system to enhance market oversight and compliance.
In December 2023, FBR mandated integrated suppliers to declare all their outlets through a computerized system and register each POS for integration activation. However, this move faced opposition from various industry stakeholders and chambers. Subsequently, the Lahore Chamber of Commerce and Industry (LCCI) urged FBR to reconsider its directive a month after its issuance. Despite this, FBR has made minimal efforts to address the concerns raised.
With the aforementioned proposals likely to be unveiled in the upcoming budget, the retail sector braces for another challenging fiscal year.
