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June 17, 2025The Federal Board of Revenue (FBR) has clarified that one time sellers and women operating home based businesses are exempt from mandatory online business registration.
FBR Chairman Rashid Mahmood Langrial during a Senate Standing Committee on Finance and Revenue meeting assured this while discussing the federal budget. He emphasised that these sellers would not be required to register, addressing concerns about the impact on small and occasional online vendors.
However the committee had approved a proposal to impose sales tax on e-commerce items. Under Section 37A of Sales Tax Act, 1990 the committee discussed the scope of tax powers, reviewing penalties for unregistered entities. Minister of State for Finance Bilal Azhar Kiyani said the amendment was “a step towards protecting procedural integrity and reducing arbitrary arrests”.
Thus proposing revisions to be required for commissioner approved arrests. The committee will continue deliberations on the Finance Bill 2024-26.
