ISLAMABAD: The capital administration has decided to revamp the entire tax collection regime by empowering all branches of the National Bank of Pakistan (NBP) to collect local taxes through mobile and e-banking.

Some of the major taxes include registration and transfer of vehicles and their token tax, hotel bed tax, professional tax, property and showroom dealer registration, renewal fee and tobacco wand fee.

A ceremony was held on Friday to sign a memorandum of understanding (MoU) between the Excise and Taxation Department Islamabad and the NBP regarding collection of taxes and fees through the banking channel.

Citizens can apply for an appointment with ETO for payment of taxes, registration of vehicles, official says

Excise and Taxation Office (ETO) Director Bilal Azam and NBP Vice President Farhan Durrani singed the MoU in the presence of Deputy Commissioner Hamza Shafqaat.

Mr Azam said under the new mechanism, taxpayers could have a prior appointment with the excise and taxation department for payment of taxes, registration of vehicles or availing of any other facility instead of standing in long queues for hours.

The applicant will apply for registration of a vehicle through the online system and will get intimated on which day they should approach the office. Separate counters have been designated on the premises of the ETO for this purpose, he added.

“This is an alternative delivery channel for services and tax and fee collection as a part of our overall reform programme,” he said, adding such steps were already helping in increasing collection of tax and the number of taxpayers in the capital.

At present, vehicle token tax is collected only by post offices and the ETO resulting in great inconvenience to the citizens, he said. This facility would remain in place even after introduction of the new alternative delivery channel being launched to minimise the workload and rush at the ETO and post offices.

There are over 1.4 million vehicles registered with the ETO in the capital and a fair quantity of them are owned by people who are residing in other parts of the country, the director said. The facility will also benefit such owners to pay the token tax and transfer fee without coming to the capital.

Millions of citizens visit the ETO to pay taxes and fees and stuck in long queues. As a result, they seek assistance from the tout mafia, he said. The new facility will also eliminate the tout mafia.

Speaking on the occasion, Mr Durrani said the NBP was digitalising the government departments to address problems of the citizens in paying taxes and fees. The facility has been started in the capital and will also be introduced in all provinces later, he added.

People will receive an SMS and email after they pay taxes and fees. Besides, they can also download the online receipt.

Mobile apps will also be introduced to pay taxes and fees, he added.

Published in Dawn, October 5th, 2019

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