Karachi: The federal government is looking to use technology to raise the country’s tax-to-GDP ratio that has remained at about 11% over the past 20 years — a news source reported. In this regard, technologies like point of sales (POS) systems at retail stores and others similar equipment will be utilized to fill the gaps.
According to the details available, the government will deploy nearly 8,500 POS systems by the end of the year. This will allow the state to bring a number of new vendors into the tax net, and help achieve its economy documentation targets.
Speaking on the matter, Federal Minister for Industries and Production Hammad Azhar said that through the installation of POS systems at 6,616 outlets, the government had already managed to expand its base — now it is looking to raise the number to 15,000.
In order to further encourage registrations, the government has proposed a sales tax reduction from the current rate of 14%, to 12% for retailers registered with the POS systems.
