FBR Issues New Rules and Regulations for Online Businesses
Islamabad ( Web News )
The Federal Board of Revenue (FBR) has issued new rules and regulations for online businesses and has also released a draft amendment to the Income Tax Rules aimed at bringing the digital economy within the tax net.
According to FBR, the draft amendments to the Income Tax Rules 2002 have been published to ensure that Pakistan’s digital economy is properly taxed. The SRO states that every entity engaged in online business will be required to submit a monthly financial report. Online business operators will provide monthly financial details through Form A-1 and Form A-2.
As per the SRO, details of online businesses must include the National Tax Number (NTN) along with monthly bank account statements. Additionally, online businesses will be required to provide the name, address, and invoice number of the seller.
It has also been stipulated that all courier service companies across the country will be required to submit financial details to FBR on a quarterly basis. For this purpose, Form-1 has been issued for courier companies.
Furthermore, companies providing online financial services will be required to separately submit tax details on services through a designated form. Online business entities will also have to submit an affidavit along with their tax details.
FBR has invited stakeholders to submit their feedback on the revised draft within seven days.