The Federal Board of Revenue has moved to expand digital tax surveillance by mandating the installation and online integration of point of sale systems across more than 14 sectors nationwide, according to an official notification. The decision forms part of a broader push to implement real-time monitoring of business transactions and strengthen documentation of the economy.
Under the new directive, hotels, restaurants, guest houses, marriage halls, marquees and race clubs are required to integrate their operations with the FBR’s POS system. Establishments without air-conditioning, however, will be exempted from the requirement. The integration is intended to ensure that sales data is transmitted directly to the tax authority’s digital platform, enabling automated reporting and reducing underreporting risks.
The healthcare sector has also been brought within the scope of the expanded regime. Dentists, physiotherapists, plastic and hair transplant surgeons, veterinary doctors, medical laboratories and diagnostic facilities offering X-ray, CT and MRI scans are now required to install and connect POS systems to the FBR network. Beauty parlours, massage and pedicure centres, along with private hospitals, have likewise been directed to comply. Hospitals charging consultation fees of less than Rs500 per visit will be exempted from the requirement.
Beyond healthcare and hospitality, the notification extends to recreational and professional institutions. Health clubs, gyms, swimming pools and multipurpose clubs are required to integrate with the tax authority’s online monitoring system. Civil and non-civil polo clubs fall under the new rules, as do chartered accountants and cost and management accountants providing professional services.
The FBR has specifically mandated POS installation at gymkhanas and clubs operating in major urban centres including Lahore, Karachi and Islamabad. Retailers, manufacturers and importers are required to ensure full online connectivity with the authority’s system, reinforcing existing documentation obligations within the trading and industrial sectors.
Foreign exchange dealers and currency exchange companies have also been included in the expanded coverage, signalling closer monitoring of financial transactions conducted outside the formal banking channel. The measure aligns with broader efforts to enhance transparency in cash-intensive segments of the economy.
Private educational institutions and vocational training institutes are subject to the POS requirement as well. However, institutions charging monthly fees of up to Rs1,000 have been granted exemption, reflecting a threshold-based approach aimed at limiting compliance burdens on lower-cost education providers.
The nationwide expansion of POS integration represents a continuation of the FBR’s digitisation strategy, which seeks to link business activity directly to tax reporting systems. By mandating electronic transaction recording and centralised data transmission, the authority aims to curb tax evasion, broaden the documented tax base and improve revenue collection efficiency.
The directive also signals a shift toward uniform digital compliance across service, retail, healthcare and professional sectors, many of which have historically operated with limited real-time oversight. Through mandatory POS connectivity, the FBR intends to strengthen audit trails, improve enforcement capability and align domestic tax administration with global digital monitoring practices.
Implementation timelines and compliance enforcement mechanisms are expected to follow the notification, with affected businesses required to ensure system installation and operational integration within the prescribed framework.
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