PESHAWAR  -     To increase voluntary tax compliance and enhance the capacity of withholding agents, the Khyber Pakhtunkhwa Revenue Authority (KPRA) held a workshop on Sales Tax Withholding Regulations 2020 in Nathia Gali. 

The workshop was arranged with the support of USAID-funded KPRM activity at a local hotel in Nathia Gali on Wednesday. The participants included the officials of Universities, Developing Authorities, and Education Boards in the North Region. 

Additional Collector KPRA North Region Umar Arshad in his welcome address thanked USAID-KPRM for supporting KPRA in capacity building of the withholding agents. He shed light on the role of the withholding agents in assisting KPRA to meet its annual revenue collection targets. 

“KPRA has collected Rs 30.3 billion in the fiscal year 2021-22 and your role in the collection is very crucial for us. We achieved our target with your support and we expect you to continue the support,” he said adding that the workshop aimed to build the capacity of the withholding agents and address their questions along with establishing a liaison with them.  

The official assured them of complete support in overcoming their issues. He said that they are going to start awareness sessions in universities for students to build a tax culture in the province in the coming weeks. 

Deputy Collector KPRA North Raheel Iqbal gave a detailed presentation on sales tax withholding regulations 2020 to the participants and clarified every section of the regulation, making clear the procedure of how to calculate and withhold sales tax on services from the service provider and then submit their monthly returns. He said that the KPRA can ask for records of the withholding agents for up to 5 years so they have to maintain their records for 5 years. 

USAID KPRM Public Outreach Specialist Naveed Yousafzai said that they will continue their support and will hold capacity-building workshops in Bannu, Chitral, and Bajaur for public sector withholding agents in the coming weeks. “We will continue to support KPRA to build tax culture in the province,” Mr Yousafzai said.