The All Pakistan Sarafa Gems and Jewellers Association has put forward a proposal for a new Special Tax Procedure 2026 aimed at introducing a simplified and transparent taxation system for Pakistan’s jewellery sector, 24NewsHD TV channel reported on Sunday.
According to the report, the plan was presented by the association’s president, Qasim Shikarpuri, who said the proposed framework has been developed under Section 99C of the Income Tax Ordinance 2001.
He stated that the objective is to establish a clear and turnover-based tax structure for those involved in the jewellery trade.
According to the proposal, different final tax rates would apply to various segments of the industry, including goldsmiths, retailers, manufacturers, and bullion dealers. The suggested system is intended to create a uniform yet category-based approach to taxation across the sector.
The proposal also recommends simplifying the process of tax returns, making it easier for businesses to comply with filing requirements. In addition, it suggests that stock should be declared purely on the basis of weight, such as grams or tolas, rather than financial value, due to constant fluctuations in gold prices.
It further states that once taxes are paid under the proposed regime, no additional assessments or further proceedings should be carried out under standard tax procedures. The framework also includes suggestions to encourage the use of banking channels and digital payment systems through dedicated facilitation measures.
Qasim Shikarpuri said the proposed system would help restore confidence within the jewellery trade, widen the tax base, and support efforts to document the wider economy. He urged the government and the Federal Board of Revenue to introduce and implement the Special Tax Procedure 2026 without delay.
Reporter: Baseem Iftikhar