Small Taxpayers

10 December 2014


Case Selection Criteria for STO


This document explains the background of  case selection criteria and suggests principles for  case allocation criteria. The document clarifies and where necessary simplifies case selection criteria previously defined in 2007  so that easier and effective enforcement could be achieved.


The ARD is structured on a functional basis within three market segments, namely large, medium and small taxpayers.

This structure has been adopted to:

  •  Maximize the efficiency and effectiveness, and
  • Best manage the risks associated with the different characteristics, compliance behaviors and risks to the revenue each segment presents

In 33 provinces outside of Kabul, revenue collection falls under the control of Mustaufiats, and Mustaufiats do not report to Deputy Minister, customs and Revenue. Rather, the Mustaufiats report directly to Deputy Minister, Administration. This anomaly means that the ARD has little control over the way in which  revenue collection is managed in provinces and is reliant on the cooperation of Mustaufiats. An exercise is underway to establish through the Tashkeel process a national revenue authority with a single channel of reporting to ARD Director General. In anticipation of this change,  the case selection criteria should also apply to provincial LTOs, MTOs and STOs.

Principles for  taxpayer selection criteria   

Taxpayer allocation to  each tax center should:

  •  Be supported by clear and simple criteria
  •  Ensure a balance between taxpayer numbers with staffing levels, and
  • Keep up with changes in economic situation and  taxpayer population.

 Case allocation criteria 

The case allocation criteria for STO (Kabul and Provinces) are as follow:

Case allocation criteria for taxpayers  in Kabul for STOM

  • Importers/traders  with annual turnover below 500 million Afn
  • Training Courses
  • Property dealers
  • Private Clinics
  • Normal Restaurants
  • Houses (given for rents)
  • Natural persons (Salaries)
  • Small Business (shops)
  • Cable Networks
  • Translation Houses
  • Government Properties
  • Gas Stations 
  • SPort Clubs


Note: All the companies  having AISA license and their annual turnover exceeds 300 million Afn are required to be registered with LTO.   

Case allocation criteria for  taxpayers  in provinces for STO

  • Importers/traders  with annual turnover below 200 million Afn.
  • Training courses
  • Property dealers
  • Private clinics
  • Normal Restaurants
  • Houses (given for rents)
  • Natural persons (Salaries)
  • Small Businesses (shops)
  • Cable Networks
  • Translation Houses
  • Government Properties
  • Gas Stations
  • Sport Clubs

Note: If the annual turnover of AISA registered companies in provinces exceeds 100 million Afn, they should be transferred to LTO.  


ARD Director General may, for the purpose of addressing some cases in a better way,  make decision to transfer a case from one Directorate to another.

Validity of  Selection Criteria: 

This document is valid for 3 years and after 3 years, the criteria provided in this document shall be revised.

Approved by:

Najeeb Ahmadzai                                                                                Gul Maqsood Sabit

ARD acting DG                                                                                    DM, Customs and Revenue

Date/signature                                                                                    Date/Signature