MUZAFFARABAD (Kashmir English): Azad Kashmir has seen a major jump in tax revenue with the Azad Kashmir POS system integration. Thanks to the rollout of a new IT-based Point of Sale (POS) system Azad Kashmir has seen historic tax growth, especially in Mirpur, the region’s main commercial centre, according to official sources.
Commissioner of Inland Revenue Department (IRD) South Region, Syed Ansar Hussain, as reported by APP, has said that since introducing the POS system, Azad Kashmir’s revenue from branded businesses has increased by 400 to 800 per cent.
He noted this as the biggest rise ever in the state’s tax collection history. Highlighting the benefits of the Azad Kashmir POS system integration, the commissioner explained that sales tax returns filed since its introduction show a massive boost in tax payments.
He gave examples of two well-known brands: a footwear chain that previously paid around Rs100,000 in sales tax each month now pays Rs6 million under the POS system.
Similarly, a popular clothing brand that used to deposit between Rs150,000 to 200,000 monthly has paid Rs11 million after Azad Kashmir POS system integration.
According to Ansar, the overall increase in annual sales and income tax collections following POS implementation has crossed Rs1 billion, a milestone recognised and praised at higher levels of government.
He added that in March 2024, tax collected from brands like clothing, shoes, and food outlets stood at Rs21 million without POS. However, after the POS system was launched in March 2025, sales tax collections from just 40 integrated brands jumped to Rs154 million.
The commissioner credited this success to the special task force formed by the Chief Inland Revenue (CIR), which kept a close watch on the system’s implementation.
The team used modern technology, including a WhatsApp group that included all inspectors, excise officers, and deputy commissioners overseeing brand operations. IT officers were also part of the group, and the commissioner himself supervised activities continuously.
Since the official Azad Kashmir POS system integration on February 11, 2025 by the Prime Minister of Azad Kashmir, several business outlets were shut down or sealed for non-compliance, the commissioner added.
He described the IRD South’s rollout of the Azad Jammu and Kashmirs (AJK) POS system as a model of effective tax enforcement using both technology and human resources.
Ansar also said that if similar systems were applied in other tax bodies like PRA and FBR, they could greatly improve national revenue and support economic development.