SAWAT
Khyber Pakhtunkhwa Revenue Authority (KPRA) conducted a one-day training workshop for government officials on capacity building in an attempt to improve their tax collection mechanism and enhance the capacity of the concerned officials on withholding tax.
The training session was arranged with the financial and technical assistance of USAID and Khyber Pakhtunkhwa Revenue Mobilization (KPRM) Mardan and Malakand regions at a local hotel here on Wednesday.
Officials of District Administration, Universities, Educational Boards, Local Government, Water, and Sanitation Services Mardan, and District Accounts attended the workshop.
Speaking during the session, Director General KPRA Capt (retd) Shahbaz Tahir Nadeem shed light on the role of the withholding agents in the administration and collection of sales tax.
According to him, “withholding is not a tax, it is a mechanism, and being government officers it is their responsibility under the law to withhold tax from the service providers.”
“Our job is to facilitate you and regions including Mardan and Malakand are available for your support and assistance,” he said.
KPRA Additional Collector Mardan and Malakand Musarrat Zaman said that the aim of the workshop was to build the capacity of government departments’ officers to efficiently withhold sales tax on services for KPRA and address issues they have been facing within withholding tax from the service providers.
Deputy Collector Mardan and Malakand Abdul Wahab briefed the participants on the KP Sales Tax on Services Withholding Regulations 2020 and explained the whole process of how to calculate, and withhold sales tax from the service providers, and how to submit their sales tax returns.
“One the aims of the workshop was to educate withholding agents on the difference between the sales tax on goods which is administered by the Federal Board of Revenue and sales tax on services which is administered by KPRA,” he said adding that as per law it is the responsibility of withholding agents to properly calculate, withhold, submit sales tax on services for KPRA.
Assistant Collector KPRA Afaq Ali educated the participants on the taxable services that fall in the ambit of sales tax on services and the rates of the tax on different services and answered their queries.
