FBR is going to impose tax on retailers from 5 major cities.

The Federal Board of Revenue FBR is going to impose tax on retailers in Pakistan’s five major cities, as per a report dated January 4.

Read: Federal Board of Revenue Makes Sales Tax Payment License Mandatory For All Retailers

Those familiar with the decision disclosed that the targeted cities encompass Islamabad, Karachi, Lahore, Peshawar, and Quetta. This move is expected to bring in around PKR 100 billion in revenue solely from these cities. Furthermore, the FBR has devised a comprehensive plan to extend taxation to 350,000 retailers across the country. Initially, taxes will be imposed on retailers in Islamabad and the four provincial capitals.

Read: FBR Establishes Single Portal Committee To Streamline Sales Tax Returns In The Telecom Industry

FBR is going to impose this tax on retailers so that revenue of over PKR 300 billion could be generated. Taxes will be calculated based on factors like shop size and annual income, with collections occurring monthly.

For more news and updates stay in contact with RBS.