Audit, survey of business community: ST-registered persons required to give real-time e-access: FBR

ISLAMABAD: Sales tax-registered persons are now required to provide real-time electronic access of their premises, stocks, accounts and records to the Federal Board of Revenue (FBR) for carrying out surveys of the business community.

According to the S.R.O. 888(1)2020 issued by the FBR here on Tuesday, the new procedure of Real-Time Electronic Access for Audit & Survey of the business community has been notified.

The registered person shall provide continuous and full real-time electronic access to the premises, stocks, record, accounts and data, whether maintained electronically or otherwise, as and when required by an authorized officer as provided under section 38 of the Sales Tax Act. The authorized officer shall have real-time electronic access to the operation of any computer system which stores, generates or receives data related to taxable activity; supporting documentation including file structures, etc., operational and technical manuals, audit trail, controls, safe keeping and information on how the accounting system of the registered person is organized and any premises or place specified.

An officer of Inland Revenue, duly authorized by the Board or the Commissioner IR having jurisdiction in this behalf, shall have full and continuous real-time electronic access to the premises, stocks, record, accounts and data for the purpose of survey of person or class of persons liable to be registered.

The registered person shall provide data on Standard Audit File for Tax (SAF-T) files on XML format, as approved by the Board. The SAF-T files shall be transferred through a website or electronic data carriers, as notified by the Board. The data would include account books, including journals and ledgers; bank details and bank statement; inventory record; record of sales of goods; record of purchases, including exempt purchases against which no input claimed and detailed record of invoices, including sale invoices, purchase invoices, invoices for advance sale and debit/credit notes.

The registered person shall ensure the authenticity and integrity of the data and use all electronic or procedural means to prevent loss and corruption of data during transmission or storage.

The registered person shall invariably maintain a back-up data to overcome any possible system failure or loss or corruption of data.

The registered person shall, as and when required, provide full and continuous access through video link to the business or manufacturing premises, registered office or any other place where any stocks, business records or documents required under the Act are kept or maintained.

Copyright Business Recorder, 2020