MULTAN: The Federal Board of Revenue (FBR) Regional Tax Office (RTO) implemented new withholding tax rates in the jurisdiction which were amended through Finance Act 2019. Regional Tax Office Inland Revenue directed all market committees to collect withholding tax according to revised tax rates.
The Federal Board of Revenue asked all dealers, commission agents and ‘arhatis’ to deposit withholding taxes according to amended rates. The Federal Board of Revenue has revised withholding tax rates by enhancing taxes almost 10 times through amendment.
There are four categories of taxes in withholding taxes and those who were paying Rs10,000 taxes per annum before the amendment will pay Rs100,000/ amount of taxes per annum after amendment. Group B were paying Rs7500 and now they will pay Rs75000/ taxes per annum after revision. Group C who were paying Rs5000 before amendment will pay Rs5000 per annum taxes after amendment. The Federal Board of Revenue has directed to collect taxes other than these three categories which were paying Rs5000/ before amendment will also pay Rs50000/ taxes after amendment.
The Federal Board of Revenue has directed all Inland Revenue Officers of Regional Tax Office that withholding tax deduction will be made according to the amended tax rates.