Furniture retailers to be put under fixed tax regime

Federal Minister for Finance and Revenue Miftah Ismail has assured furniture retailers that the government will save them from unnecessary problems and would bring them to the fixed tax regime by issuing a new SRO for the purpose.

The minister made the remarks when a delegation of the All Pakistan Furniture Association (APFA), led by Islamabad Chamber of Commerce and Industry (ICCI) President Muhammad Shakeel Munir, met him and highlighted the difficulties being faced by the furniture retailers due to their placement in tier-1 category for sales tax collection.

“The government will give due consideration to all genuine tax problems of the business community to ensure ease of doing business so that they could play more effective role in economic development of the country,” Ismail said.

The ICCI president told the minister that the furniture industry had great potential to grow and boost the country’s exports but placing the furniture retailers in tier-1 category for sales tax collection created a lot of difficulties that would affect the sector’s business activities.

Munir urged the minister to bring the retailers to the fixed tax regime so that they could pay sales tax through their electricity bills at the rate specified in the Finance Bill, while income tax collection should continue at the prevailing rate.

APFA Chairman Zahid Hussain proposed that the fixed tax regime for furniture retailers would increase tax revenue for the country and ease the woes of furniture retailers.

He requested that the furniture retailers registered on an area basis should be de-registered for tax purposes and put under the fixed tax regime.

A large number of furniture association representatives from across Pakistan and ICCI members were present in the meeting.

Published in The Express Tribune, July 20^th, 2022.

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