The Federal Board of Revenue (FBR) has moved to strengthen electronic monitoring of registered businesses, with new amendments to the Sales Tax Rules, 2006 allowing action against premises that fail to connect required monitoring systems to the FBR network. Under the amended framework, businesses covered by the rules will be required to install production monitoring, video surveillance or digital-eye systems and integrate them with the FBR’s monitoring system. The FBR has already issued sector-specific orders for electronic monitoring, including video analytics for tiles, bottled water, packaged juices, packaged milk and beverages. The rules provide a procedure under which non-compliant premises may be sealed. An Assistant Commissioner Inland Revenue or an officer of higher rank can submit a written report to the Commissioner Inland Revenue, who may initiate proceedings after examining the matter. Following an inquiry, the Commissioner will forward the report to the Chief Commissioner, who will issue a written order determining whether the business premises should be sealed. The rules allow the entire premises or a specific portion of it to be sealed. A copy of the sealing order must be provided to the businessperson before the action is carried out. The FBR framework also allows enforcement authorities to seek police assistance where necessary during the sealing process. Flydubai Flight Israel-bound plane diverts to Saudi Arabia after pilots’ fight A business premises will remain sealed until the required monitoring system is installed and connected to the FBR’s system. The businessperson will also have to pay the prescribed fine before seeking the reopening of the premises. An FBR technical team will be present during installation and integration of the monitoring equipment. Once the system has been successfully connected, the Commissioner Inland Revenue will issue a certificate within three days. The FBR has been expanding electronic production monitoring across specified manufacturing sectors as part of efforts to improve tax compliance and curb under-reporting. The board says its monitoring framework is designed to provide real-time production data and strengthen oversight of notified goods. The electronic monitoring requirements may be extended to additional business premises and manufacturing sectors in the future, according to the FBR. Post navigation Gold Prices Pakistan bullion rates fall by Rs12,800 per tola
