# FBR retailers scheme draws only 220 new shopkeepers; fines of up to Rs 50,000 next

Source: Searchable (https://searchable.pk/news/economy/fbr-retailers-scheme-draws-only-220-new-shopkeepers-fines-of-up-to-rs-50000-next)
Type: News article
Author: Searchable Editorial
Published: 1 Nov 2026
Updated: 1 Nov 2026
Retrieved: 2 Nov 2026

> Just 1,750 shopkeepers have used the fixed tax scheme. The FBR plans to geo-tag markets and fine or seal shops that stay out.

The government's simplified tax scheme for shopkeepers has drawn just **220 new filers**, even though the **Federal Board of Revenue (FBR)** has identified **3.6 million** potential non-filers in the retail sector, [ProPakistani reported](https://propakistani.pk/2026/11/01/retailers-tax-scheme-flops-only-220-new-shopkeepers-join/) on Sunday, citing sources.

In all, about **1,750 shopkeepers** have filed returns under the new fixed tax scheme, and most of them were already in the tax net. The scheme was meant to bring in **Rs 50 billion** from retailers. In early October the count of new retailers was 91, so the pace has picked up only slightly.

## What happens to shopkeepers who stay out

The FBR plans to **geo-tag markets** across the country, building on its earlier mapping of markets and shops, and to fine those who do not register:

| Month after notice | Fine |
|---|---|
| First month | Rs 10,000 |
| Second month | Rs 25,000 |
| Third month | Rs 50,000 |

It also has the power to **seal the shop** of a retailer who stays outside the net.

## Why the FBR is pushing now

The tax authority is short of its targets. It collected **Rs 975 billion** in the first 30 days of October against a monthly target of **Rs 1,132 billion**, a gap of **Rs 157 billion**. For July to October it collected **Rs 4,058.5 billion** against **Rs 4,185 billion**, a shortfall of **Rs 126.5 billion**. The FBR received **7.6 million** income tax returns by October after extending the deadline twice.

When collections fall short, the usual fallback is more withholding tax on everyone else, from bank withdrawals to mobile top-ups, which is why the retail sector's tiny contribution matters to salaried people too.

## If you run a shop

1. **Check your status** on the FBR's Active Taxpayer List. A non-filer pays higher withholding tax on almost everything; see our guide to [withholding tax rates for filers and non-filers](/guides/taxes/withholding-tax-rates-filer-vs-non-filer).
2. **Register on IRIS** if you are not a filer. Our step-by-step guide on [how to become a filer](/guides/taxes/fbr-iris-login-registration-and-filing-guide) covers it.
3. **Compare the fixed scheme with a normal return.** Small shops with low profit may pay less under the fixed amount; the [income tax calculator](/tools/tax/income-tax-calculator) gives you the normal-return figure for comparison.
4. **Keep records** of rent, electricity bills and purchases. They are what the FBR uses to judge a shop's turnover once markets are geo-tagged.

## Frequently asked questions

**What is the fine for shopkeepers who do not register with FBR?**

According to the report, Rs 10,000 in the first month, Rs 25,000 in the second and Rs 50,000 in the third, and the FBR can seal the shop of a retailer who stays outside the net.

**How many retailers have joined the scheme?**

About 1,750 shopkeepers have filed under the fixed tax scheme, and only 220 of them were new filers, ProPakistani reported on 1 November 2026.

## Sources

- Retailers Tax Scheme Flops as Only 220 New Shopkeepers Join (ProPakistani): https://propakistani.pk/2026/11/01/retailers-tax-scheme-flops-only-220-new-shopkeepers-join/

How to cite: "FBR retailers scheme draws only 220 new shopkeepers; fines of up to Rs 50,000 next", Searchable, 1 Nov 2026, https://searchable.pk/news/economy/fbr-retailers-scheme-draws-only-220-new-shopkeepers-fines-of-up-to-rs-50000-next