FBR makes GPS-tagged images mandatory for sales tax registration

KARACHI: The Federal Board of Revenue (FBR) has made it mandatory for a person to provide global positioning system- (GPS) tagged images of his business location and others while applying for the sales tax registration, in a bid to prevent tax frauds, sources said on Tuesday.
The sources said a new sales tax registration mechanism has been introduced with an aim to record all necessary particulars of an applicant before the sales tax registration.
The sources said the sales tax rules made it mandatory for an applicant of sales tax registration to provide GPS-tagged photographs of business premises, office equipment and electricity and gas meters.
Under the tax laws, a sales tax-registered person enjoys several tax relaxations, besides conducting business operation with input adjustment against output and claiming refunds.
If the applicant is a manufacturer then he is required to provide additional particulars, such as GPS-tagged photographs of factory premises, machinery, industrial electricity or gas meter.
The sources said a wholesaler needs to provide GPS-tagged photographs of the business premise and warehouse.
Under the sales tax laws, a listed or unlisted public company is required to get itself registered with the tax department of the area where the office is located.
In case a company is engaged in manufacturing or processing then the person/owner is required to get registration from the tax department of an area where the factory is located.
In the new sales tax registration mechanism, the applicant is required to provide computerised national identity card of all owners, members, partners or directors and the representatives.
A non-resident needs to give details of his passports through online application.
The sources said the applicant is also required to get biometric verification by visiting regional tax office.
They said the apex tax authority has adopted strict procedures as the fraudsters deprived national exchequer of billions of rupees through fake refunds.