Implementation of SRO, PoS merger by FBR: FBR ordered to stop issuing notices to educational centres

ISLAMABAD: Federal Tax Ombudsman (FTO) has approved the appeal of All Pakistan Private Schools Federation against the implementation of SRO and Point of Sale (PoS) merger by FBR and has issued instructions to FBR to form a high-level committee and stop issuing notices to educational institutions.

The committee includes All Pakistan Private Schools Federation’s President Kashif Mirza, Senior Vice President Dr Malik Abrar Hussain and Provincial President Sindh Akhtar Arain, while FBR is represented by Arshad Nawaz Chheena and Asif Rasool.

According to the details, the All Pakistan Private Schools Federation, represented by Central Senior Vice President Dr Malik Abrar Hussain, Provincial Presidents Sindh, Akhtar Arain, Punjab Hasnain Mirza, Balochistan Rashid Kakar and KPK Saleem Khan had filed an appeal with the Federal Tax Ombudsman requesting the withdrawal of the Federal Board of Revenue’s SRO-428 (I)/2024, on which the Tax Ombudsman Pakistan accepted the appeal against the FBR’s unfair classification of the disputed SRO as retailers and implementation of point of sale integration and directed the FBR to constitute a high-level committee comprising representation from the federation.

Federation President Kashif Mirza, SVP Dr Malik Abrar Hussain, Akhtar Arain, Hasnain Mirza, Rashid Kakra and Saleem Khan said in their statement that “by accepting the appeal, the Federal Tax Ombudsman has fulfilled his educational patronage and constitutional responsibility, for which we pay tribute to him.” The leaders said the unfair SRO classifies schools as retailers and implements point of sale, which is a violation of Article 25A of the Constitution.

The implementation of SRO will affect low-fee schools, which will affect the education of poor children and increase inequality. Internet access in schools across the country is only 18 percent, 12 percent of teachers are digitally literate, 15 percent of educational institutions have basic computer labs, only 5 percent have high-speed internet and digital tools available, low-income schools will be negatively impacted by online integration notices, increasing dropout rates and closing quality education schools.

Federation leaders have demanded that the government and FBR immediately withdraw the decision and prioritize complete and permanent exemption and promotion of education.

Copyright Business Recorder, 2025