Registration under ST Act, 1990: FBR proposed to increase turnover requirement

The members of regional committee on taxation have recommended the Federal Board of Revenue (FBR) to increase turnover requirement for registration under the Sales Tax Act, 1990, to Rs 15 million. The proposal was given at a regional committee meeting, here on Tuesday, which was presided over by Chief Commissioner, Inland Revenue, Hafiz Muhammad Ali Indhar.
The meeting was held in the light of the FBR's notification dated October 20, 2015, which aims at establishing liaison among traders at regional levels and the Communication Committee, Income Tax Committee and Sales Tax Committee at the board's level. The Chief Commissioner, RTO, Karachi, during the meeting reiterated that FBR wanted to work in close co-ordination with the business community to address the problems being faced by them at operational levels on priority basis.
He also informed the members that seminars would be organised to educate the taxpayers about recent amendments and computerised system, besides highlighting the benefits of tax compliance. The Chief Commissioner requested the traders to file their tax returns in compliance with the tax laws and save 0.3 percent additional withholding tax. Meanwhile, the committee members assured that they would use their good offices for tax compliance in general and filing of returns in particular.
Besides requesting for an extension of date for filing of returns for Tax Year 2015 till November 30, they also recommended that the turnover requirement for registration under the Sales Tax Act, 1990 may be increased from Rs 5 million to Rs 15 million. The Chief Commissioner told the members that both their requests would be communicated to the Board for necessary instructions. He also assured the members that such meetings would be held on regular basis to achieve the desired results.