The federal government’s push to bring traders into the tax net through a new easy registration scheme has fallen far short of expectations, with only 1,750 shopkeepers taking part so far. The Federal Board of Revenue (FBR, Pakistan’s main tax authority) has decided to move against traders who did not join, according to information attributed to official sources.
Sources said the retailers’ scheme added only 220 new shopkeepers to the tax net. The government had set a Rs50 billion collection target from the retailers’ tax scheme, but officials are still struggling to enrol the sector at scale.
Low uptake and a large non-filer pool
FBR has already mapped about 3.6 million potential non-filers in the retail sector—people or businesses that may owe returns but have not been filing. To close that gap, the board plans to geotag markets, pinning shop locations so enforcement and outreach can be more precise.
Shopkeepers who stay outside the tax net may face penalties. Sources indicated that fines can be applied to those who do not register or file as required.
Fines and shop-sealing powers
Under the penalty ladder described by sources, non-filers could be charged Rs10,000 in the first month, Rs25,000 in the second month, and up to Rs50,000 in the third month. Authorities also have the power to seal shops that remain outside the tax net.
That combination—rising monthly fines and the risk of sealed premises—signals a harder line after voluntary easy registration drew a thin response.
Income tax filing backdrop
Separately, the last date for submitting income tax returns was extended twice. By October, FBR had received 7.6 million income tax returns. Those figures cover the wider filing drive and sit alongside, rather than replace, the specific shortfall in the retailers’ easy registration scheme.
What happens next depends on how quickly FBR rolls out market geotagging and how firmly it applies fines and sealing against traders still outside the system. For many small retailers, the choice is between registering now or facing mounting costs and possible closure of premises.
Aasan alfaaz mein
Hakumat ki asaan registration scheme se abhi tak sirf 1,750 dukandaar tax net mein aaye hain. FBR un dukandaaron ke khilaf karwai kar sakta hai jo shamil nahi hue. Jurmana pehle mahine 10,000, doosre mein 25,000 aur teesre mein 50,000 rupay tak ho sakta hai, aur dukaan seal bhi ho sakti hai. Agar aap dukaan chalate hain, to filing aur registration ki soorat-e-haal jald check kar lein.
