From Our Correspodent
MULTAN: The Federal Board of Revenue’s (FBR) flagship “Asaan Tax Scheme,” aimed at bringing millions of retailers into the documentation net, has suffered a massive setback nationwide, with traders in South Punjab leading an outright boycott.
During review talks for the fourth assessment under the $7 billion Extended Fund Facility (EFF), the IMF mission expressed serious concern over the dismal progress of the scheme. Against an ambitious target of Rs50 billion for the current fiscal year, the FBR has managed to collect a meager Rs86 million to date. Out of millions of eligible shopkeepers across Pakistan, only 1,016 have filed returns under the fixed scheme, with just 91 representing new tax filers.
The resistance is particularly fierce across South Punjab, including Multan, Bahawalpur, D.G. Khan, and Rahim Yar Khan, where local trader associations have completely rejected the initiative. Representatives pointed out that businesses are already reeling under heavy commercial electricity bills from MEPCO, which already extract heavy withholding taxes, sales tax, and fuel price adjustments directly through meters. “Levying an additional fixed tax under these crushing economic conditions amounts to economic murder,” local trade bodies stated.
In an effort to salvage the scheme, the FBR has extended the return filing deadline from September 30 to October 15. The tax authorities also reiterated harsh punitive clauses, warning that defaulters will face penalties of Rs10,000 in the first month, Rs25,000 in the second, and Rs50,000 in the third month. In response, South Punjab’s trading community has issued a stern warning that any coercive tactics, shop sealings, or bank account attachments will trigger an immediate and complete shutter-down strike across the region.
