The Federal Board of Revenue (FBR) has issued orders to the business communities and tax officials to submit their budget plans for 2020-2021. This step aims to eliminate tax-frauds and facilitating taxpayers.
FBR has defined the following six main parameters regarding the submission of budget proposals:
1. The proposals must focus on extending the tax base and an increase in revenue collection.
2. Amendments may be suggested as per the following laws:
- The Sales Tax Act, 1990
- The Federal Excise Act, 2005
- The Sales Tax Rules, 2006
- The Federal Excise Rules, 2005
- The ICT (Sales Tax on Services) Ordinance, 2001
3. Amendments may be suggested to achieve simplification, remove difficulties and anomalies, and to abolish any outdated provisions.
4. Wherever possible a draft proposed amendment/procedure may be enclosed along with revenue impact both in soft and hard form.
5. The FBR would specially welcome proposals for eliminating tax fraud, fake and flying invoices, plugging loopholes if any, facilitating genuine taxpayers, and making the procedures transparent.
6. The proposals should be made keeping in view the consequences for the other related trade groups, which might be adversely affected by the proposed measure.
