Karachi: The Federal Board of Revenue (FBR) has notified withholding tax collection worth PKR 330 million on foreign funds transfer recorded during the first four months of the current fiscal year (2019-20), according to news sources. The executive had reported on its receipt of PKR 10 million during the corresponding period of the previous financial year.
The tax officials linked this growth to better monitoring and enforcement of laws and regulations. On the gross amount remitted abroad, the withholding tax payable is one percent for compliant taxpayers. The total amount of tax collected under this head was PKR 991.4 million during the last tax year (2018-19).
In the previous fiscal year, the applicable tax rate for non-filers was 3% but was abolished through Finance Act 2019. This year, the higher applicable tax rate on the non-filers was replaced with 100% higher tax rate on people not appearing on active taxpayers list.
It is pertinent to mention here that the FBR has launched several measures to encourage people with taxable incomes to file their returns in the authority’s bid to increase the number of tax filers to five million.
Hazafa reveres the art of writing and has been turned into a property enthusiast by profession. Her daily survival kit includes; tea, coffee, keyboard and paperbacks.
