Govt levies fresh taxes on vendors
The government has also introduced a new definition of tax fraud, which now includes the intentional evasion of legally due tax or obtaining an undue refund by submitting false documents, false returns, or withholding correct information. photo: REUTERS
The government has imposed a new tax on all categories of traders and shopkeepers in the Rawalpindi district, sparking widespread protests from local businesses.
The newly issued tax circular has led to a unified outcry from shopkeepers and traders associations across various markets, who have announced plans to challenge the tax in the high court.
Additionally, a significant number of shopkeepers have declared their intention to vacate their premises and relocate their businesses.
The government has conducted an assessment of the monthly and annual income of shopkeepers operating in all bazaars of Rawalpindi district, subsequently imposing substantial income taxes based on these assessments.
According to government officials' evaluations, shopkeepers dealing in food, electronics, garments, meat, chicken, tailoring, cobbling, ovens, and kulfi vendors on College Road Rawalpindi reportedly earn Rs0.36 million per month and Rs2.23 million annually. Consequently, a tax of Rs60,000 per month has been levied on them.
Similarly, the new tax structure includes Rs60,000 per month for shopkeepers on Bank Road Saddar, Dalgran Bazaar, City Saddar Road, and Ganjmandi Bazaar.
Rs45,000 monthly for shopkeepers in Chaklala Scheme 3, Askari 12, 13, and 10, Chandni Chowk, and DHA 2.
Moreover, Rs30,000 per month for shopkeepers in Bagh Sardaran Bazaar, Bani Chowk, Bank Road, Murree, Askari 8, 9, and 11.
Rs20,000 per month for shopkeepers in Bohar Bazaar, Bhabra Bazaar, Askari 6, 7, 14, and 15, Wah Cantt, and Civil Lines.
Rs10,000 per month for shopkeepers in Chaklala Scheme 1 and 2, Chhota Bazaar Saddar, Bakra Mandi Bazaar, and Kotli Satyan Bazaar.