Tax payment through bank accounts from Aug 1

ISLAMABAD: The Federal Board of Revenue (FBR) has decided to offer taxpayers the facility of depositing dues through their bank accounts. The revenue collection body plans to launch the pilot project for the Electronic Payment and Refund System on August 1.

According to documents available with The Express Tribune, country-wide implementation of the electronic payment system is scheduled for January 1, 2011. However, from next month taxpayers will be able to make payments by opening accounts in any one of the five banks that are part of the pilot project.

The system will also enable the FBR to credit tax refunds directly into specified bank accounts, a convenient alternate for those eligible for compensation from the body.

It was learnt that discussions between the State Bank of Pakistan and the FBR have already been completed. During the meetings between the high-ups of both organisations, it was decided that the system would be introduced in five large banks before the country-wide launch. These include National Bank of Pakistan, United Bank Limited, Habib Bank Limited, Allied Bank Limited and MCB Bank. By having an account in any of these institutions, taxpayers will be able to avail the facility of clearing tax obligations and receiving refunds from the FBR.

Published in The Express Tribune, July 30^th, 2010.