ISLAMABAD: Pakistan’s Federal Board of Revenue (FBR) issued an Income Tax General Order (ITGO) on Tuesday aimed at bolstering tax compliance and ensuring that persons liable to file Income Tax Returns for the Tax Year 2023 are included in the active taxpayer list.
In a move to clamp down on non-filers, the FBR has also announced plans to block the mobile SIM cards of over 506,000 non-filers nationwide.
The ITGO has been issued with the objective of improving tax compliance and ensuring the provisions outlined in the Income Tax Ordinance, 2001.
The decision to block mobile SIM cards comes in the wake of the government’s efforts to crack down on individuals who have neglected their tax responsibilities.
Effective immediately, SIM cards of individuals identified as non-filers with taxable income will remain blocked until May 15. This directive was communicated through a notification issued by the FBR, instructing telecom companies to promptly implement the measure.
The list of non-filers comprises 506,671 individuals who have not been listed in the Active Taxpayers List due to their failure to file tax returns for the year 2023.
Moreover, the FBR has stressed that the process to unblock mobile SIM cards of non-filers will not be straightforward. Requests for restoration will require approval from the FBR or the relevant commissioner.
These measures are aimed at encouraging individuals to fulfill their tax obligations and contribute to the country’s economic development.
According to media reports, this action marks the initial phase of the FBR’s strategy to combat tax evasion. Data for over 2 million individuals has been compiled, suggesting that more non-filers may face similar repercussions in subsequent phases.
It is important to note that the FBR also holds the authority to disconnect the electricity connections of non-filers, adding another enforcement mechanism to ensure comprehensive tax compliance.
