- The Karachi Tax Bar Association (KTBA) is concerned about the halt in new sales tax registrations by the Federal Board of Revenue (FBR).
- The FBR’s action is intended to combat flying invoices and misuse of input/output tax adjustments.
- The KTBA argues that the halt is negatively impacting genuine taxpayers, shrinking the tax base, and discouraging compliance.
- The KTBA highlights challenges arising from the halt, including the exclusion of genuine taxpayers, shrinking tax base, unfair business environment, and economic slowdown.
- The KTBA recommends enhanced verification mechanisms, risk-based or provisional registration, and digital integration and real-time monitoring to address the issue of flying invoices.
Source: pkrevenue.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
