ISLAMABAD: The Federal Board of Revenue (FBR) has finalized further amendments in Income Tax Rules, 2001, whereby another Chapter VIIA is being inserted to enable online integration of businesses.
According to the draft amendment, businesses will install such electronic device and software at their establishments and register each point of sale (POS) to activate the integration, as such no sale or service will be rendered without being recorded by the duly accredited electronic device (EFD), which means a system composed of one Sale Data Controller (SDC) connected with Point of Sale (POS) having the ability to transmit the fiscal data to FBR’s computerized system through secure means.
The EFDs installed at each notified establishment shall be tamper-proof and all the data recorded thereon shall be backed up at an offline site.
In case of sale returns or exchange, a proper credit note or supplementary invoice with prescribed particulars shall be issued containing the reference of original invoice and the detail of amount refunded or additionally charged, along with sales tax involved, if any.
All the transactions made from the notified establishment shall be communicated to FBR’s Computerized System through EFD.
The SDC shall be capable of generating and sending alert messages resulting from any malpractice or error or any inconsistent action noticed in the system and keeping a log thereof. The transactions on each point of sales shall be recorded by a CCTV camera and the recording thereof shall be retained for a period of at least three months. Such recordings shall be provided to the Commissioner concerned as and when demanded and for the time as specified.
In case ancillary services or sale of goods are made, the transactions shall also be recorded and the invoice or bill issued in the same manner. Such data shall also be communicated to the Board’s Computerized System.
The cost for integration including the cost of equipment and fiscalization shall be borne by the taxpayer itself. The taxpayer shall prominently display at each establishment that the POS or the establishment is accredited by FBR to issue invoice or bill and that the registration number of each POS is verifiable through the FBR’s verification services.
Moreover, the integrated enterprise shal maintain the record of all the bills and transactions made, and provide access to the premises as well as the specific record required to the Inland Revenue officers.
The provisions of this Chapter shall apply to all persons mentioned in Column (2) of Schedule-I, excluding those specified in Column (4) of Schedule-I.