October 17, 2024 Karachi, October 17, 2024 – The Federal Board of Revenue (FBR) has eased the requirement for submitting an affidavit alongside the sales tax return for September 2024, which is due to be filed in October. This relaxation follows appeals from trade bodies and aims to build trust among all stakeholders, the FBR announced on Thursday. The decision comes after considerable pressure from trade bodies, which had expressed concerns over the new affidavit condition. In response, the FBR stated that alternative proposals to curb the submission of falsified sales tax returns would be accepted until October 31, 2024. These proposals will help shape future policy in ensuring transparency in the tax submission process. While the affidavit requirement has been relaxed, the FBR stressed that this does not signal any weakening of enforcement under the Sales Tax Act of 1990. The FBR reaffirmed that false declarations, the use of fake or flying invoices, and the suppression of sales remain serious offences. Taxpayers are urged to exercise extreme caution when filing their returns, as violations can lead to both monetary penalties and criminal prosecution under Section 33 of the Sales Tax Act. According to the FBR, the decision to introduce the affidavit was driven by alarming findings during a data-driven analysis of sales tax returns filed by major businesses. This analysis revealed widespread fraudulent practices, particularly a lack of due diligence by authorized…