Karachi: Pakistan Chemical and Dyes Merchants Association (PCDMA) expressed serious concerns concerning the difficulties with which traders are faced in the filing of their declarations of sales tax, following a new requirement introduced by the Federal Board of Revenue (FBR). Under SRO 55 (I) / 2025, the FBR has made all the registered commercial importers, distributors and wholesalers have made it compulsory to declare their stock position in Annex H1 to each declaration of monthly sales tax.
However, the president of the PCDMA, Salim Valihammad, said that the absence of clear directives of the FBR has led to unnecessary confusion and difficulties. He explained that many traders had submitted their yields in March 2025 without annex H1 simply because they did not understand the process. Consequently, they could not declare their opening stock for April, and the question remains unresolved even in June.
“The PCDMA has received numerous complaints from members who are still unable to produce their returns from April 2025 due to this confusion,” said Valihammad. He added that many traders had been forced to approach the FBR several times for clarification. Finally, the FBR authorized the revised yields to be deposited without modifying the annexes A or C or demanding the approval of the commissioner – but at that time, it was too late for many.
To resolve the question, PCDMA urges the FBR to grant traders a period of grace of 60 to 90 days to submit appendix H1 after producing its declarations. This would reflect the 120-day window already available for manufacturers-exporters.
“The PCDMA believes that such decisions should be made in consultation with commercial organizations,” said Valihammad. He stressed that quick and clear communication is essential to ensure compliance and prevent similar problems in the future.
