Shopkeepers asked to opt for fixed tax scheme

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LAHORE: The Federal Board of Revenue (FBR) has urged small shopkeepers and retailers to benefit from the recently introduced fixed tax scheme, saying that it has been designed to facilitate small businesses through simplified compliance, a one-page return and a tax rate of one per cent of turnover, subject to a minimum tax of Rs25,000.

“The scheme is aimed at bringing more small businesses into the documented economy by making taxation easier, transparent and less burdensome,” said Fiza Batool, the chief commissioner (Inland Revenue) of FBR, Lahore, while addressing the business community at the Lahore Chamber of Commerce and Industry (LCCI) on Tuesday.

During her visit to the chamber, the chief commissioner briefed the business community about the special procedure for small shopkeepers introduced through SRO 1166(I)/2026.

Ms Batool said under the scheme, eligible businesses would be facilitated through exemptions from routine audit, Point of Sale (POS) integration and digital invoicing requirements.

Moreover, she added, a green plate would be given to registered shopkeepers to facilitate inspection.

The FBR official said the scheme was voluntary and traders had the option to either continue filing returns under the normal tax regime or go for the new, simplified one.

She said broadening the tax base was essential for creating a level playing field, regretting that the percentage of people paying taxes in the country was negligible.

She appreciated the contribution of the business community, stressing that more businesses needed to gradually move towards proper documentation and taxation.

The chief commissioner said the LCCI played an important role as a bridge between the tax department and the business community. She assured the participants of full cooperation from the FBR and said the doors of the department’s offices were open to businesspeople for resolution of their genuine concerns.

Helpline and WhatsApp facility

Ms Batool said the FBR had established a helpline and WhatsApp facility for complaints and would also initiate an open-court mechanism to provide another platform for taxpayers to air their grievances.

She emphasised that the dignity and self-respect of businesspeople was important and that taxpayers should not face unnecessary harassment.

She explained that special safeguards had been incorporated into the small shopkeepers’ scheme, including the provision of a green plate, under which field teams would generally not enter a registered business premises unless a major anomaly was identified.

The special procedure had been introduced in response to a long-standing demand of the business community and retailers for a fixed and simplified tax regime. The scheme, the FBR official added, was voluntary and provided an alternative to the normal tax return system.

Explaining its salient features, she said the scheme followed the principle of “One Page, One Return, One Percent” and required minimum information from eligible traders.

The tax would be calculated at the rate of one per cent of turnover, subject to a minimum liability of Rs25,000.

Published in Dawn, September 9th, 2026

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