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Deadline Set by FBR to bring Professionals in Tax Net

Deadline Set by FBR to bring Professionals in Tax Net - Realtorspk

Islamabad: The Federal Board of Revenue (FBR) has announced a July 1 deadline to finally implement a decision aimed at linking professional services with the tax system online, after a four-year delay.

Initially proposed on December 22, 2023, the draft rules for this initiative underwent revisions, culminating in the issuance of notification SRO428 of 2024, which specified the commencement date as July 1.

Under the caretaker government, the Special Investment Facilitation Council (SIFC) expressed concern over the non-implementation of the scheme in urban areas to levy income tax on professional service providers, particularly those operating largely on a cash basis. The decision was further emphasized in August 2020 through SRO779, which outlined categories of sales and service providers required to integrate with the FBR for monitoring purposes. The scope of this integration has since expanded, now covering a broader array of service providers, including educational institutions, medical practitioners, photographers, event managers, and fitness centers.

The recent SRO issued by the FBR on March 22 introduced significant adjustments, expanding the coverage of service providers eligible for integration into the online tax system. Notably, this extension encompasses various sectors previously exempted, such as medical service providers, pathological laboratories, and private hospitals, alongside establishments like health clubs and photography studios. Moreover, revised thresholds have been set for consultation fees and event management charges to ensure a wider inclusion of taxpayers and reinforce tax compliance across diverse professional domains. For the latest Real Estate News , visit Realtorspk blogs.

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