FBR Makes Jewelers Bound To Keep Record Of Cash Transactions Of Over Rs2m


FBR makes jewelers bound to keep record of cash transactions of over Rs2m

The Sources say that this restriction has been placed on the jewelers in order to foil terrorists from using the business of precious stones and jewelry items for their nefarious motives owing to different factors.

KARACHI: (UrduPoint/Pakistan Point News-Feb 4th, 2021) Federal board of Revenue (FBR) directed jewellery traders to keep a record of cash transactions which go over Rs2 million, the sources said on Thursday.

The top revenue collector made this directive keeping in view the situation of the country before FATF.

The sources said that the new order was given under laws of Anti-Money Laundering (AML) and Combating Financing of Terrorism (CFT) in order to meet conditions of the Financial Action Task (FATF).

Following the orders, Jewelers would keep a record of such transactions for at least five years.

“Every person who is starting sale or buying jewelry items including rings, bracelets, necklaces and other bodily ornaments over Rs 2million threshold will be bound to keep record of every transactions,” said the sources.

“The FBR interprets the Rs2 million threshold as a cash transaction below the threshold amount if the cash transaction is below Rs2 million but is part of a series of transactions related to the purchase of the same item or items totally Rs2 million over or above,” they further said.

The FBR officials said that this restriction was put on the jewelers as the criminals and terrorists could use the business of stones and metals due to different factors.

FATF review is due this money to decide the fate of Pakistan regarding its name on the grey list.

Fida Hussnain

Fida Hussnain is a lahore based journalist. He writes on politics, religion, social issues and climate change. He is also a research fellow at University of Gujrat.