ISLAMABAD: Federal Board of Revenue (FBR) Chairman Amjed Zubair Tiwana said Friday that businesses refusing to accept credit or debit card payments will face strict actions, including sealing of premises.

The Senate Standing Committee on Finance and Revenue reviewed the Finance Bill 2024 under the chairmanship of Senator Saleem Mandviwala, here on Friday.

The FBR chairman stated sealing of business premises would be based on three daily complaints or five weekly complaints from customers.

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Senator Sherry Rehman raised concerns about the difficulties faced by consumers due to Point of Sale (POS) system failures, recounting instances where credit card payments were not accepted. She emphasised that even small purchases can be made with credit cards in other countries, such as the UK.

She reported that in Pakistan, retailers often claim their machines were down, particularly for high-value transactions.

The FBR chairman said the introduction of measures to bring transparency to the POS system in the new budget. This includes licencing POS software companies and integrating a third-party license system. The chairman admitted that previous POS software was vulnerable to fraud, and reassured that the new system would prevent such issues.

He added that shops not providing receipts for five POS transactions in a week would face a fine of Rs500,000.

Tiwana added that retailers involved in tax fraud would be blacklisted, but they would have the right to appeal to the chief commissioner.

He assured the committee that steps were being taken to ensure retailers comply with the POS system and accept credit card payments.

Copyright Business Recorder, 2024