e-BIN helps traders carry out business activities including import-export, opening of letter of credit, obtaining bank loans, participating in tenders and supplying goods and services, and other related services
No traders in the country will be able to operate business with the old 11-digit Business Identification Number (BIN) as the electronic BIN (e-BIN) has been made mandatory from July 1, first day of the new fiscal year 2018-19.
The National Board of Revenue (NBR) targeted to scrap the old BIN from the first day of FY17-18, but extended it thrice, and the last deadline expired on June 30, 2018, officials said.
The nine-digit e-BIN was introduced in March 2017 to facilitate online submissions of VAT returns as part of the implementation of the new Value Added Tax and Supplementary Duty Act 2012.
In 2012, the law was passed in Parliament to automate the country’s VAT administration and boost revenue collection.
The next year the revenue board undertook VAT online project to introduce a client-friendly and service-oriented automated system. The system is expected to encourage voluntary compliance, ensure paperless and online VAT system, and higher revenue yield.
To obtain the new e-BIN, taxpayers will have to enter the dedicated website of the VAT online process. They will have to register with a user-identification number and password to ensure submission of VAT returns online.
e-BIN helps traders carry out business activities including import-export, opening of letter of credit, obtaining bank loans, participating in tenders and supplying goods and services, and other related services.
According to NBR data, about 124,000 businesses and traders have registered with e-BIN. Among them, 112,000 registered with it as VAT registered entities while about 12,000 registered with e-BIN as turnover VAT payers.