Sindh leads Pakistan in sales tax collection for FY25, collecting a record Rs284 billion and growing 27.50%. This stellar performance highlights its robust service sector and sets a new benchmark for other provinces.
LTO Karachi recovers a record Rs4B in Capital Value Tax (CVT) from foreign assets, driven by its AEOI Zone. This fiscal triumph, up from last year’s Rs3.85B, signifies a new era of enforcement and transparency for offshore wealth.
Taxpayers face renewed frustration as the FBR’s IRIS portal shows “offline” errors. This recurring issue, especially as deadlines near, underscores the urgency for early filing to avoid last-minute stress and system failures.
After heavy criticism, the FBR has removed its mandatory QR scan option for logging into the IRIS portal. Tax consultants and taxpayers, who found the MFA feature burdensome and time-consuming, are relieved by the decision. This eases the tax filing process.
FBR has unexpectedly removed the Multi-Factor Authentication (MFA) requirement for Tax Consultants and Sales Taxpayers on IRIS, despite still displaying the MFA login popup on its website.
PM Shehbaz Sharif has ordered the closure of PRAL within six months, raising concerns over disruptions to FBR’s tax operations and delays in a $400M World Bank-funded IT upgrade. A new autonomous body will replace PRAL, but experts warn of major risks to tax data and revenue systems.
FBR mandates withholding sales tax for online marketplaces, payment intermediaries, and couriers on digitally ordered goods. New SRO 1429 (I)/2025 ensures tax collection at the source to formalize the e-commerce sector.
FBR’s new tax rules crack down on informal transactions. Get the lowdown on the Finance Act, 2025, which disallows expenditures for purchases from non-NTN holders and non-banking channel payments over Rs. 200,000. Read more to stay compliant.
FBR tightens tax on recreation clubs: Income from member services now taxable. Clubs charging over Rs1M joining fee lose non-profit status, facing full taxability. Major shift for high-end clubs.
The Pakistan Textile Council warns that new FBR amendments to the Export Facilitation Scheme will critically damage exports. Key raw materials like cotton and yarn are excluded, forcing exporters to pay taxes upfront and crippling the industry.