ISLAMABAD: Major changes are being made in the Trader Friendly Scheme of the Federal Board of Revenue (FBR).
According to sources, instead of collecting tax from small traders, actions will be initiated against big retailers. FBR will register large traders based on analysis of returns, data security and commercial electricity consumption data.
It will suspend the current policy of fixed tax on retail outlet per shop, the biggest question mark will be whether the review of this policy is endorsed by the IMF.
It should be noted that the Trader Friendly Scheme failed miserably to collect the desired revenue.
In the first quarter, the target was set at Rs 10 billion and for the second quarter period, TDS collection was targeted at Rs 23.4 billion.
FBR agreed with IMF to collect Rs 50 billion through TDS during the current financial year.
