For the tax year 2020, amnesty from audit against Computerized National Identity card (CNIC) condition has been demanded by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI). The demand has been made in the budget proposals for the fiscal year 2020-2021.

CNIC condition was introduced in the Finance Act 2019, to be implemented on the unregistered sales, but, due to certain reasons, implementation of the condition could not be made in true spirits, said FPCCI.

It was also highlighted by the FPCCI that initial exemption was provided to this condition through legislation in July 2019.

Also, the condition was provided for relaxation from August 2019 to January 2020 because of the agreement between shopkeepers and the FBR.

Afterward, tremendous pressure has been exerted on the markets due to the complete lockdown in the country due to COVID-19 (Coronavirus).

As per the sayings of FPCCI, cash flows problems are being caused by the CNIC condition since its implementation and it will be further intensifying for registered taxpayers during this lockdown situation.

Therefore, FPCCI has requested a general amnesty for CNIC conditions through legislation in the next budget to be provided for the whole tax year 2020 with an effect from August 2019 to June 2020. This has been requested by the FPCCI in order to facilitate the registered Taxpayers.