ISLAMABAD: The Federal Board of Revenue (FBR) has decided to seal registered business premises that fail to connect with its electronic monitoring system.
The FBR has issued a notification amending the Sales Tax Rules, 2006, allowing action against registered businesses that do not comply with the monitoring requirements.
Under the amended rules, businesses will be required to install production monitoring, video surveillance or a Digital Eye system and connect it with the FBR's monitoring system.
According to the notification, police assistance may be sought when necessary to seal a business premises. A commissioner of Inland Revenue can initiate proceedings based on a report submitted by an assistant commissioner or an officer of a higher rank.
The commissioner will conduct an inquiry and submit a report to the chief commissioner, who will issue a written order on whether the business should be sealed. The entire premises or a specific portion of it may be sealed.
The business owner must be provided with a copy of the sealing order before the action is taken.
The FBR said the premises will remain sealed until the monitoring system is connected to its system. To have the premises reopened, the business owner will have to pay the prescribed penalty and install the required monitoring system.
An FBR technical team will be present during installation of the system. After installation, the commissioner will issue a certificate within three days.
The notification also allows the scope of electronic monitoring rules to be extended to additional businesses and manufacturers.