Restaurants warned against tax overcharging

The Punjab Revenue Authority (PRA) has warned the owners of restaurants receiving 16 per cent sales tax from customers instead of five per cent on transactions through debit/credit cards. The PRA took notice of illegal sales tax compliance by the owners of restaurants and issued notices to them, warning them of action in case of collecting sales tax more than five per cent on transactions thought credit/debit cards. A spokesperson for the PRA Friday stated the Punjab government had reduced the rate of sales tax from 16 per cent on payments through credit/ debit cards at restaurants but many restaurants were still charging 16 per cent sales tax on payments through credit/debit cards.