ISLAMABAD: The Reforms & Revenue Mobilization Commission (RRMC) has recommended that petrol stations across the country should not accept cash payments for fuel purchases.
Through Finance Bill 2023, the said restriction has been proposed to be imposed on petrol stations in the coming budget (2023-24), according to the RRMC.
Currently, petrol stations in Pakistan accept cash payments for fuel purchases. Apart from providing an opportunity for tax evasion and undocumented transactions, it is challenging to track transactions done in cash, which may lead to financial irregularities.
The RRMC has recommended that petrol stations throughout the country should no longer accept cash payments for fuel purchases.
Customers should be encouraged to pay using electronic banking, credit/debit cards, or other digital payment methods. It is further suggested that the FBR, State Bank of Pakistan, and relevant stakeholders should work together to create a framework for implementing the proposal to ensure a smooth transition towards cashless transactions at petrol stations throughout the country.
Oil Marketing Companies can also issue prepaid fuel cards/prepaid debit cards. It would help in promoting a more transparent and documented economy and prevent the risks linked with cash transactions as mentioned above, the RRMC recommendation added.
Copyright Business Recorder, 2023