The National Board of Revenue (NBR) has made the decision to require VAT eligible hotels and restaurants on all national highways to install Electronic Fiscal Device (EFD) or Sales Data Controller (SDC) equipment. Because hotels and restaurants on all of the nation’s highways do not issue computerized VAT invoices conscientious consumers are constantly protesting that VAT is not being deposited correctly with the public coffers. Highway restaurants are open 24/7 and many of them collect VAT but fail to properly deposit it. According to an NBR press statement, the chairman of the NBR recently ordered that all hotels and restaurants on the nation’s roads install EFD/SDC devices in order to correctly collect VAT.
Accordingly the NBR’s VAT implementation wing sent out a letter urgently instructing all field-level commissioners to install EFD/SDC machines at all hotels and restaurants along the nation’s highways. This will allow them to regularly monitor daily transactions and collect the proper amount of VAT. It is noteworthy that for the past few years Genex IT has been collaborating with the NBR to install EFD machines and integrate all transaction data into the IVAS system through its general operations. According to the announcement the present interim government has been implementing a number of constructive actions to keep the nation’s economy running smoothly. In order to do this the NBR has modified the VAT rate for revenue collection, issued stringent guidelines at the field level to identify new taxpayers, and stopped tax evasion.
The VAT that customers have paid will not be put into the government exchequer if the VAT invoice is rejected. Through a lottery using the VAT receipts produced by the EFD machine, the NBR will give hundreds of rewards to the successful VAT payers each month. Additionally, in order to properly collect taxes, the NBR has asked all parties involved—including businesspeople and the print and electronic media—to support government initiatives. Additionally, the revenue board is asking customers to correctly get their VAT receipts in order to be eligible for interesting prizes.
Source: The Business Standard
