FBR ready to change tax scheme as per traders demands: sources

The nationwide strike and protest of traders turned successful as the Federal Board of Revenue (FBR) expressed readiness to accept the demand of traders and change the tax scheme, sources said on Wednesday.

Sources privy to matter said amendments could be made immediately if the business community gears up to end the shutter-down strike.

The amendment regarding tax exemption for small businesses was included in the draft, sources added.

It was recommended to the FBR that the form of tax return should be issued in simple Urdu language and the tax would not be applied to Rs100 million turnover, annually.

Moreover, sources said the income tax slab is likely to be changed for the traders.

Earlier, Chairman FBR Rashid Mahmood met with trader representatives and said the Tajir Dost Scheme could not be withdrawn as the government wants to bring all retailers into the tax net.

He added that the scheme would be implemented with the cooperation of businessmen after accepting their valid demands.

“Market rate could be reviewed, and small shops will not be burdened unnecessarily,” Mahmood said.

However, Chairman FBR made the statement after traders closed all big and small markets and came to the streets against inflation, over-billing, over-loaded taxes, and Tajir Dost Scheme.

The demonstrators torched the tyres in Karachi’s Sher Shah and Mominabad areas and blocked the roads.

Besides Karachi, the business community in Islamabad, Lahore, Quetta, Badin, Golachi and other cities of Pakistan were observing a shutter-down strike.

The strike was supported by political parties, including Jamaat-e-Islami, JUI-F, and Awami National Party (ANP).