ISLAMABAD: The government wants to increase income production and document the enterprises in the country, therefore the Federal Board of Revenue (FBR) has established the Tajir Dost Scheme 2024 to bring small dealers and shops into the tax net.
The top tax body has also released an SRO in this regard, declaring that all traders and shopkeepers operating through a fixed place of business—a store, shop, warehouse, office, or other physical location—located within the territorial civil limits, including cantonments, will be registered under the scheme. These individuals are referred to as business premises.
The retailers will begin registering on April 1, 2024. The Tajir Dost Scheme can be registered in three different ways, as follows:
Tajir Dost App FBR (Tax Asaan App)
Any trader or shopkeeper with an Android or iOS device can use the Tax Asaan app to apply for registration in the National Business Registry.
FBR’s Portal
They can also apply for the registration through the online portal of the Federal Board of Revenue.
FBR’s Tax Facilitation Centers
For registration, traders and store owners can also go to the FBR’s Tax Faciliation Centers. They have until April 30 to register for the program.
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According to the announcement, the Commissioner of Inland Revenue will register the merchant or shopkeeper, as applicable, if the person who is obliged to be registered does not request for registration.
(1) On July 1, 2024, the second section of the SRO pertaining to the payment of minimal advance tax will go into effect.
“Every person shall be liable to pay monthly advance tax in accordance with this paragraph.
(2) The minimum tax with regard to income from the business covered by this program shall be the advance tax paid under subparagraph (1).
(3) The method as may be prescribed shall be used to calculate the monthly advance tax for a tax year.
(4) The advance tax payable under subparagraph (1) shall be Rs. 1,200 annually in the event that the advance tax computed under subparagraph (3) is nil. With the caveat that sub-paragraph (1) will not apply if the person’s income is exempt from income tax under any Ordinance provision.
With the additional proviso that the advance tax payable will be lowered by 25% of the entire amount or the balance: (a) in the event that the individual pays the entire amount or the remaining amount, as applicable, of the advance tax for the applicable Tax Year in one single payment. Go through the SRO.