Pakistan’s Senate Standing Committee on Finance and Revenue recently discussed measures to improve transparency and customer experience with Point-of-Sale (POS) systems. The meeting, chaired by Senator Saleem Mandviwala, highlighted both stricter regulations and efforts to address past issues.
Strict Actions for Non-Compliance:
The Federal Board of Revenue (FBR) chairman, Malik Amjed Zubair Tiwana, announced stricter actions for businesses refusing credit or debit card payments. Based on customer complaints, these actions could include sealing the business premises. Three daily complaints or five complaints within a week would trigger such action.
Addressing Consumer Concerns:
Senator Sherry Rehman raised concerns about unreliable POS systems, citing instances where credit card payments were declined despite customers’ preference. She emphasized the need for seamless digital transactions, comparable to developed economies where even small purchases can be made with cards.
New Measures for Transparency and Security:
The FBR chairman acknowledged these concerns and outlined steps towards a more robust POS system. These measures include:
- Licensing POS Software Companies: This will likely improve quality and standardize functionalities.
- Third-Party License System: This aims to enhance security and prevent fraudulent activities within the POS system.
- Fines for Non-Receipt Issuance: Businesses failing to provide receipts for five POS transactions within a week will face a fine of Rs. 50,000.
- Blacklisting for Tax Fraud: Businesses involved in tax evasion through manipulation of the POS system will be blacklisted. However, they will have the right to appeal to the Chief Commissioner.
Overall Focus:
These measures highlight the government’s focus on:
- Encouraging Digital Transactions: Promoting a cashless economy through wider acceptance of card payments.
- Protecting Consumers: Ensuring customers have a seamless experience and receive proper receipts.
- Curbing Tax Evasion: Addressing concerns about manipulating POS systems for fraudulent purposes.
By implementing these measures, Pakistan aims to create a more reliable and secure POS infrastructure, ultimately benefiting both businesses and consumers.
