Pakistan is set to introduce a new mobile application for the registration of small traders and retailers under the fixed tax scheme, with the app expected to be officially launched next week, according to Finance Ministry sources.
Sources said the mobile application will be rolled out on a trial basis later this week to assess its performance before its full-scale launch. Formal registration of small traders through the app is expected to begin next month.
Under the fixed tax scheme, registered retailers will be required to file their tax returns in September.
To make the registration process more accessible, the application will be available in four languages Urdu, English, Sindhi and Balochi.
According to the Finance Ministry, retailers who register through the app will be issued a special “Green Plate” by the Federal Board of Revenue (FBR), identifying them as registered taxpayers under the scheme.
Sources added that the FBR has already collected data on more than 3.5 million retailers across Pakistan.
The government has set a target of generating Rs50 billion in tax revenue during the current fiscal year through the retailer registration scheme as part of its efforts to expand the country’s tax base and improve tax compliance.
Earlier, the Federal Minister for Finance Muhammad Aurangzeb and State Minister Bilal Azhar Kayani announced a fixed tax scheme for small businesses. According to the details, the government announced this scheme after consulting small traders in the country.
The Finance Minister said that the traders who have an income of less than 20 crore per year will be eligible for the announced scheme. Muhammad Aurangzeb said that taxpayers wanted tax relief.
The finance minister also said that the government’s policy is focused on reducing tax rates rather than increasing them in order to ease the burden on existing taxpayers.
Speaking at a press conference, the finance minister said that small shopkeepers were consulted before finalising the proposed scheme, ensuring that their concerns and suggestions were taken into account.
Discussing the country’s economic situation, Muhammad Aurangzeb said Pakistan had addressed its economic challenges through its own resources and had not relied on external assistance. He noted that the country maintained economic stability despite facing severe floods last year.
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