ISLAMABAD: The Federal Board of Revenue (FBR) has demonstrated several features of its digital income tax return system to the Karachi Tax Bar Association (KTBA), including mechanisms for reporting investments in immovable property, declaring multiple business capital accounts, recording inheritance assets and calculating tax under relevant provisions of the law. The demonstration was held during an online consultation between the FBR Domain Team and representatives of the KTBA as part of the tax authority’s efforts to obtain feedback from taxpayers and tax practitioners on the design and functionality of the income tax return system. The meeting focused on improving the digital filing experience and identifying areas where the online return could be made simpler, more efficient and easier for taxpayers and professionals to use. KTBA President Mehmood Bikiya welcomed the FBR’s prompt response in arranging the session and appreciated the efforts made by the Domain Team to develop a responsive and user-friendly return system. According to the participants, the existing system is operating satisfactorily, with no major technical problems or significant glitches reported during the discussion. Instead, the meeting primarily focused on clarifications, suggestions for improvement and practical issues faced by tax practitioners while completing returns. The FBR officials addressed a number of queries through live demonstrations, allowing participants to better understand the available options and procedures within the digital system. During the session, the Domain Team demonstrated how taxpayers can report investments in immovable property, enter details of more than one business capital, declare tax under applicable sections and include inherited property in their tax records. Officials also clarified that certain information fields are optional. In particular, the chassis number required in the vehicle-related section does not have to be entered where it is not applicable or available. The consultation also covered several policy-related matters raised by the KTBA. These included the timing of refund applications, deemed assessment orders and procedures for revising income tax returns. The FBR Domain Team explained that such matters are governed by existing policy provisions, including the 15-day rule relating to deemed assessments. The concerns and proposals raised by the tax bar were also forwarded to the FBR’s Policy Wing for examination. Both sides agreed that continued consultations between tax officials and tax practitioners could help address implementation-related concerns and improve taxpayers’ understanding of the digital filing process. The KTBA also submitted several proposals for future versions of the income tax return system. One of the key suggestions was to introduce an option for uploading data through Excel files, which could reduce the time required to manually enter large volumes of information. Other proposals included reconsidering the requirement to enter certain financial information in subsequent years and introducing a system-generated PDF explaining the relevant legal provisions concerning residence status. The FBR Domain Team recorded the suggestions and indicated that they would be considered for possible incorporation into future versions of the return system. Most of the technical and operational questions raised during the meeting were resolved through on-screen demonstrations and explanations by the FBR team. The exercise also provided practitioners with a clearer understanding of the functions already available on the digital platform. KTBA Vice President Saud ul Hasan appreciated the FBR’s willingness to engage directly with representatives of the tax community. He said continued interaction between tax practitioners and the revenue authorities could promote greater understanding of taxpayers’ concerns and strengthen confidence in the digital filing mechanism. The FBR, meanwhile, reiterated its commitment to maintaining regular consultations with the business community, tax practitioners and their representative organisations. The tax authority said feedback received through such engagements would remain important in improving the income tax return system and making the filing process more transparent, straightforward and taxpayer-friendly.

LONDON: Global oil prices moved higher on Friday and were set to post strong weekly gains as investors closely monitored escalating tensions between the United States and Iran, raising fears of potential disruptions to energy supplies from the Middle East. Brent crude futures advanced by 1.45%, reaching $88.33 per barrel, while US West Texas Intermediate (WTI) crude rose 1.26% to $82.27 a barrel. The gains came as diplomatic efforts aimed at easing regional conflict showed little progress, increasing uncertainty in global energy markets. Market participants remained focused on reports that Washington could intensify economic pressure on Tehran, including the possibility of expanding maritime restrictions and tightening sanctions. Analysts said any further deterioration in relations between the two countries could have a significant impact on global crude exports, particularly given the Middle East’s critical role in oil production. Energy analysts noted that concerns over supply interruptions have become a key driver of recent price movements. While no major disruption has yet occurred, traders are pricing in the risk that a broader conflict could affect shipping routes and regional oil infrastructure. “Geopolitical developments continue to dominate market sentiment,” analysts said, adding that a major escalation could trigger a sharper increase in oil prices and add to inflationary pressures worldwide. Meanwhile, economic data from the United States added another dimension to market activity. A survey released on Friday indicated that consumer sentiment weakened in early August as households faced higher living costs, partly linked to rising energy prices and global uncertainty. US retail sales data also came in weaker than expected, leading investors to scale back expectations of another interest rate increase by the Federal Reserve next month. The softer economic outlook pushed the US dollar lower and reduced Treasury yields, offering support to commodities priced in dollars, including gold and oil. Spot gold prices climbed 0.69% to $4,380.03 per ounce, while US gold futures settled 0.4% higher at $4,437.30 an ounce as investors sought safe-haven assets amid geopolitical concerns. In currency markets, the Japanese yen strengthened slightly against the US dollar, trading near 159.37 per dollar. The movement followed reports that the Bank of Japan may consider raising interest rates as early as September. However, traders continued to watch the key 160-yen level, which could prompt intervention by Japanese authorities. Global equity markets showed mixed performance. On Wall Street, technology stocks weighed on major indexes after recent gains. The Dow Jones Industrial Average slipped 73.41 points, while the S&P 500 and Nasdaq Composite also closed lower. Despite Friday’s decline, both the S&P 500 and Nasdaq remained on course for a third consecutive weekly gain. European markets also ended lower, snapping a four-week winning streak as rising oil prices and geopolitical risks overshadowed generally positive corporate earnings. MSCI’s global equity index edged down 0.09%, reflecting cautious investor sentiment, while Asia-Pacific shares outside Japan recorded modest gains. Market strategists said investors are increasingly balancing optimism over corporate earnings and expectations of easier monetary policy against uncertainty surrounding international conflicts. John Sidawi, Senior Portfolio Manager at Federated Hermes, observed that financial markets have recently shown resilience despite geopolitical shocks, but warned that this calm may not last indefinitely. He noted that either a significant escalation in conflict or a clear diplomatic breakthrough could lead to a much stronger market reaction than current asset prices suggest.