FBR sends notices to parents paying Rs0.2m as school fee

[sohailbarki]

I would leave a hint.

If you have a family to support, you cannot afford decent Middle Class living in Lahore even if you earn Rs.100,000/- per month. And this is excluding cost of education. Unfortunately, governmental calculations are way off due to outdated data collection procedures.

I am about to start a deep and meaningful research in this area, and I am confident that I will establish my position very well.

Your point is correct, but at the same time you want facilities like EUROPE or US without paying taxes. Now we don't have any exports nor any resources to make money. So the government has to go and beg others. This is by default a non-sustainable model.
Now the point here is the government and people need to find a balance in paying taxes and collecting. Since, this whole thing is very new it will take time and few trial and errors but long term sustainability will be ensured.

 

[Dr. Strangelove]

Pakistani are beyond belief they want everything but dont want to pay any taxes. These same idiots wouldn't mind paying thousands of pounds/dollars worth of taxes in UK/US because they know if they dont the state would put them in there place. People are talking shit about khan just because he is forcing everyone to pay their fair share of taxes.

Plus they are not taxing the fees but are asking parents to declare their assets nothings wrong with this. There is already a 5% withholding tax on fees of over 200,000 PKR per annum since 2013 if a remember correctly. You can get this amount adjusted against your income if you are already a tax payer.

 

[airmarshal]

FBR sends notices to parents paying Rs0.2m as school fee
By Shahram Haq
Published: July 3, 2019
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PHOTO: Reuters

LAHORE: The Federal Board of Revenue (FBR) is desperately looking for potential taxpayers these days and is aggressively digging the record of Pakistani citizens who, at some stage, have come under prominent sections of the Income Tax Ordinance.

Recently, the tax collecting agency has dispatched letters to parents, who are paying an annual fee of Rs200,000 to the educational institutes where their children are studying, asking them to declare their hidden assets and become a tax return filer.

“Data available with the FBR reveals that advance tax under Section 2361 of the Income Tax Ordinance 2001 has been collected from you and deposited in the government treasury, meaning thereby that you are paying an annual fee exceeding Rs200,000 per child (student) to educational institutions,” said the letter sent by the FBR’s Corporate Regional Tax Office (RTO), Lahore.

According to Section 2361, every educational institution is required to collect advance income tax at the rate of 5% on the fee paid. The person responsible for preparing monthly, bimonthly or quarterly fee vouchers shall also charge withholding tax in case the fee exceeds Rs200,000 annually.

Parents in a fix as CAS raises tuition fee by 60%

“Please note that the FBR intends to register all those persons who are earning taxable income and are liable to file returns under the Income Tax Ordinance 2001, but have failed to do so,” it stated, adding the registration drive also included the persons who were liable to be registered under the Sales Tax Act 1990 or Federal Excise Act 2005. The Corporate RTO did not respond to The Express Tribune despite repeated attempts.

One of the parents, who received the notice, said the warning had sparked fear. “I am a taxpayer and file returns on a regular basis, however, there are many who are not rich enough but are trying to educate their children,” he said, adding Rs200,000 per annum was a minimum fee these days and it was not fair to send notices that were creating nuisance.

Private education, especially graduate and post-graduate studies, is getting very expensive. “Most of the parents use their savings and many sell their assets to give quality education to their children. Many colleges and universities offer degrees based on the semester system, and these days, the fee of each semester is not less than Rs200,000,” he said.

“Becoming a filer for many parents might not be an issue, but the declaration of hidden assets and registering them under the amnesty scheme is horrifying, especially when the tax collection agency does not enjoy good reputation,” he remarked.

Published in The Express Tribune, July 3rd, 2019.

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Read more: Business , FBR , inflation

You live in Canada and you know how water tight taxation system is here in this country. They can audit you for upto 7 years. If there is discrepancy in what you declare and what you own, there are heavy penalties with interest payable by you.

The Canada Revenue Agency, the Canadian version of FBR, has full authority to withdraw amount from yuor bank account of what you owe to it without even asking you.

This is how strict taxation system should be. This is the only way to take country forward.

I simply appalled at some of the posts here from educated Pakistanis. They dont want to pay tax but desire all top facilities in the country. They expect they can have it this way while country runs aground.

All European and Western countries are strong economically because here the tax system is very robust. Even if you dont have income for a year, you still have to file your taxes with zero income. This way, government has every citizen, including students and elderly under tax net. We pay 35% of our income in taxes, it goes up as salary goes up. Then we pay 13% sales tax on everything we buy. With this money government gives top class education free of cost and top class health care free of cost. Government maintains huge expanses of land as parks and recreation, entry for which is free of cost. It also provides high standard transportation facilities, libraries and early and elderly care homes.

If you wish your country be strong, it cant be if it does not have its own money. For that, you will have to pay tax.

 

[fitpOsitive]

I dont know, like I said I found it on Google.

Groceries?

Weekly.. 2kg mutton, 2 whole chicken, 1 kg chicken thigh, 1kg chicken breast, 1kg mutton keema, some sabzi, aloo, tomatoes, cucumber, mooli, Lettuce, onions, chillies, carrots, thanya, methi, apples, pears, mushrooms, oranges, bananas, grapes, strawberries, other seasonal fruit, milk (9 litres), bread 2 loaves, eggs 24, biscuits, crisps, orange juice, concentrate, cheese, butter, Salmon (1kg), Yoghurt, fruit flavoured Yoghurts, tuna, pasta, spaghetti, pasta sauce.

Some items are bought in bulk atta, rice, oil, soap, shampoo, cleaning products.


You are onto a good idea, there should be a cost of living calculator.

And definitely you are paying utility bills too?

 

[zarabesunni]

FBR also impose Tax on those person, who married 2nd or 3rd time .............................

 

[fitpOsitive]

I dont know, like I said I found it on Google.

Groceries?

Weekly.. 2kg mutton, 2 whole chicken, 1 kg chicken thigh, 1kg chicken breast, 1kg mutton keema, some sabzi, aloo, tomatoes, cucumber, mooli, Lettuce, onions, chillies, carrots, thanya, methi, apples, pears, mushrooms, oranges, bananas, grapes, strawberries, other seasonal fruit, milk (9 litres), bread 2 loaves, eggs 24, biscuits, crisps, orange juice, concentrate, cheese, butter, Salmon (1kg), Yoghurt, fruit flavoured Yoghurts, tuna, pasta, spaghetti, pasta sauce.

Some items are bought in bulk atta, rice, oil, soap, shampoo, cleaning products.


You are onto a good idea, there should be a cost of living calculator.

Cutting long story short, just consider utility bills, feul payments, purchases. By the way, we pay almost 40% on every mobile topup.. Combine all that. And you will the shock of your life.

 

[War Thunder]

Well it's certainly innovative. I must say though - until we see some big political heads roll for corruption and tax fraud, the average person will feel victimised.

It's a step by step game mate.
If the society gets a fix at some level, the chain effect will follow to slowly envelope everyone.

 

[PakSword]

Also Check lavish weddings, people who are buying Rs. 2 million Dulhan dresses, buying new cars, houses etc etc, there are so many ways to grab tax thief.

Oye yaar hum ne abhi new car khareedi hai.. lassan lag gaey.. khair.. I earn here in middle east and my brother is a salaries individual in a multinational which is heavily taxed.. so I think we are fine.. But my brother was saying that he is expecting a notice in the near future..

Let me predict.
Either the remaining cream of Pakistan will runaway from country or,
They will kickout Imran Khan.
Pistol lyker logon k gharon main ghus ker daka marny ki intaha rehgai hai ab.

1. No one is barging in with a pistol in hand.. Notices are being sent only
2. It is easy for a taxpayer to justify the source
3. Extremely difficult for a non-filer to justify his spending and lavish lifestyle
4. If Pakistan's cream doesn't want to disclose the sources of income or pay due taxes on it, better they go out sooner than later and pay taxes somewhere else.. Pakistan doesn't need them at all.
5. If the cream will kick out IK because he is requiring people to pay the due taxes, better they do it quick because in that case, the milk under the cream which actually produces the cream will leave the country leaving cream behind and one day no additional cream will be produced..

 

[alibaz]

FBR shall also go after eateries also, bind them for electronic transections using credit cards, debit cards, mobile phone apps like Jazz Cash etc with a purpose to document their income. Many of those do not accept credit cards since it leaves some sort of foot print regarding their income. They collect 17% tax but God knows how much they pay to government.

 

[PakSword]

Cutting long story short, just consider utility bills, feul payments, purchases. By the way, we pay almost 40% on every mobile topup.. Combine all that. And you will the shock of your life.

Indirect taxes which you have mentioned are the result of inadequate of direct taxation. Because of indirect taxation, a poor suffers more than a rich... because indirect tax is applied flatly on both poor and rich at a same rate.

This is income tax, and not uniform across Pakistan.

Types of taxes in Pakistan (direct & indirect)

1. Income tax
2. Sales tax
3. Corporate tax (business community)
4. Utility bills tax
5. Mobile service tax
6. Automobile tax [introduced]

Now should I give you a general breakdown of other types of 'expenses' that a typical household has to bear through its pockets? Cost of living on the whole?

Tax revenue sources in UK:

 

[I.R.A]

This would force the schools to charge less!

Whaaattttttttttttttttttttttttttttttttt?

Kaun sa nasha hy bai jo bahir mulk may milta hy aur tum sab charah k PDF pay a jatay ho?

This draconian provision was introduced by Ishaq Dar the munafiq, instead this awam dost Riayasat e Median government should have removed it ........ they are now misusing it.

The private school mafia in Pakistan doesn't even care about supreme court's directives to reduce the fee, instead taking on this mafia and asking them to pay the tax, the babuz in FBR are sending notices to people who are already getting exploited by private school mafia and lack of government quality schools.

yeh handsome sahib, jarnail aur in k lotay aik kam q nai kartay, aam Pakistanio ko saaf bol dain bacho ko parhana chor do, q kay apnay to inglistan may hain khud ko kya farak parta hy. Badh may phir Pakistani stunted bacho ki tasveeray dikha lain tv pay a kay.

"The government has earmarked Rs 77.262 billion for Education Affairs and Services in the federal budget for 2019-20 against the revised allocation of Rs 97.155 billion for the current fiscal year, showing a decrease of around 20.5 percent."

 

[fitpOsitive]

Indirect taxes which you have mentioned are the result of inadequate of direct taxation. Because of indirect taxation, a poor suffers more than a rich... because indirect tax is applied flatly on both poor and rich at a same rate.



Tax revenue sources in UK:

View attachment 567969

That's what I am saying : govt is squeezing already squeezed people.

 

[newb3e]

Whaaattttttttttttttttttttttttttttttttt?

Kaun sa nasha hy bai jo bahir mulk may milta hy aur tum sab charah k PDF pay a jatay ho?

This draconian provision was introduced by Ishaq Dar the munafiq, instead this awam dost Riayasat e Median government should have removed it ........ they are now misusing it.

The private school mafia in Pakistan doesn't even care about supreme court's directives to reduce the fee, instead taking on this mafia and asking them to pay the tax, the babuz in FBR are sending notices to people who are already getting exploited by private school mafia and lack of government quality schools.

yeh handsome sahib, jarnail aur in k lotay aik kam q nai kartay, aam Pakistanio ko saaf bol dain bacho ko parhana chor do, q kay apnay to inglistan may hain khud ko kya farak parta hy. Badh may phir Pakistani stunted bacho ki tasveeray dikha lain tv pay a kay.

"The government has earmarked Rs 77.262 billion for Education Affairs and Services in the federal budget for 2019-20 against the revised allocation of Rs 97.155 billion for the current fiscal year, showing a decrease of around 20.5 percent."

exactly govt sirf exploited logon ko aur exploit aur harass kar rahi hai!! different mafias ko kuch karnay ki himat nai is govt may! logon ko bol rahay hain tax do tax do bhai apnay barrun ko pakro phir mangna tax!


edit: according to SC order school cant collect june july fees and yet they are kahan hai fbr nab?

 

[BATMAN]

Imran Khan is the biggest scum born on face of earth.
Namak Haram, want's to destroy Pakistan to please his in laws.

 

[newb3e]

There are 2 types of people in Pakistan

1. Those that are already paying taxes and are happy that finally the govt is going after the tax choors
2. People that are tax evaders and will find any excuse to not pay taxes, including using excuses like, i don't trust the govt or grab the elites first or that i don't want to fund the thieves and corrupts.

For people coming in the 2nd group, you can use whatever excuse you want but it doesn't deter from the fact that you are also a thief and a criminal for evading paying tax.

or there are people who dont want to finance life style of your corrupt leaders and their family!