The government introduced a new retailer app on Wednesday aimed at incorporating small traders into the national tax network. Finance Minister Muhammad Aurangzeb highlighted that the tax scheme for small traders has been streamlined and made optional, with digital tools enhancing transparency across the economy.
Speaking at a press conference in Islamabad alongside Minister of State for Finance Bilal Azhar Kayani, Aurangzeb emphasized efforts to strengthen consultations for budget improvements, ensuring broader involvement of parliament and stakeholders in budget planning and tax policy development.
The finance minister encouraged traders and shopkeepers to participate in the revamped scheme to take advantage of its benefits, while cautioning that those opting out could face consequences in the future. He underscored the government’s duty to provide an accessible and efficient system for the country’s population of approximately 250 to 260 million people.
Aurangzeb stated the government’s goal is to integrate every segment of the business community into the tax system, thereby expanding the tax base and increasing participation. He noted that the retailer app is designed to leverage technology to enhance the effectiveness and transparency of the tax framework, assuring traders that they will not face harassment under the new system.
Minister of State Bilal Azhar Kayani explained that the scheme was developed after extensive consultations with business representatives and aims to broaden the country’s tax base. The app will allow shopkeepers to register as taxpayers, including those previously outside the tax system.
The retailer app will be accessible via the Google Play Store, with versions in local languages expected by the first week of September. Kayani added that shops displaying a green plate will be exempt from visits by Federal Board of Revenue (FBR) officials, providing a level of reassurance to traders.
The scheme targets shopkeepers with annual sales up to Rs200 million who have not been part of the tax network before. Upon registration, shopkeepers will receive a Payment Slip Identification Number (PSID) to facilitate fee payment. Confirmation of enrollment in the scheme will be granted for a one-year period after fee submission.
Kayani described the initiative as part of broader government efforts to expand the tax base while simplifying compliance for traders. He highlighted that digital technology will ease interactions between taxpayers and tax authorities, fostering greater transparency.
FBR Chairman Rashid Langrial remarked that the retailer scheme aims to support the business community and emphasized the potential for cooperation between the FBR and traders to promote sustainable economic growth.
This launch reflects the government’s strategy to boost tax revenues by formalizing previously undocumented businesses and reducing compliance challenges for smaller enterprises. It also underscores the importance of ongoing dialogue with traders and stakeholders to refine tax policies and expand the tax base effectively.
