Govt launches app to simplify retailer tax scheme

Summary The federal government has launched a new Retailer Scheme App to make tax registration easier for small shopkeepers Finance Minister Muhammad Aurangzeb announced the initiative during a press conference in Islamabad. He said the new system would make it easier for small retailers to enter the formal tax network. Officials believe that bringing more small traders into the tax system could significantly increase government revenue. AI Generated Summary The federal government has launched a new Retailer Scheme App to make tax registration easier for small shopkeepers Finance Minister Muhammad Aurangzeb announced the initiative during a press conference in Islamabad. He said the new system would make it easier for small retailers to enter the formal tax network. Aurangzeb said expanding the tax base is necessary for a stronger revenue system. He noted that the tax system cannot work effectively if large sections of society remain outside it. The minister said the government's priority is to make the tax system simpler and more effective. He added that the new scheme would provide greater convenience to small traders. Minister of State for Finance Bilal Azhar Kayani said the government was taking several steps to expand the country's tax base. He said the retailer app had been officially launched and was developed after consultations with traders. The app is also aimed at shopkeepers who are not currently registered with the tax authorities. Through the application, eligible retailers will be able to register themselves and become tax filers. Officials said the application would initially facilitate retailers in completing the registration process. It is expected to be made available in local languages by the first week of September. Under the scheme, registered retailers will pay a one percent tax on their sales, according to the government. Participants will also receive an exemption from the Point of Sale system under the initiative. The Federal Board of Revenue has described the scheme as a major step towards bringing small businesses into the formal economy. FBR Chairman said traders would receive protection under the special tax arrangement. He said the government expects the scheme to generate billions of rupees in additional revenue. He urged small traders to join the initiative and declare their income and expenses openly. He said successful implementation could bring several million traders into the formal tax network. The FBR chairman also described the scheme as a low-risk initiative for traders. He said the government wants to provide retailers with a respectable and easier way to file their tax returns. He assured traders that they would not be harassed under the scheme. The objective, he said, is to encourage voluntary compliance rather than create fear among small businesses. The government expects the initiative to improve tax documentation and increase the number of registered retailers. Officials believe that bringing more small traders into the tax system could significantly increase government revenue.