ISLAMABAD: In a significant move to curb tax evasion, Pakistan’s Federal Board of Revenue (FBR) announced plans to block the mobile SIM cards of over 506,000 non-filers across the country. The decision, outlined in an Income Tax General Order (ITGO) issued on Tuesday, aims to strengthen tax compliance by ensuring that individuals obligated to file Income Tax Returns for the Tax Year 2023 are included in the active taxpayer list.
The directive comes amidst efforts by the government to crack down on individuals neglecting their tax responsibilities. Effective immediately, SIM cards of individuals identified as non-filers with taxable income will remain blocked until May 15. Telecom companies have been instructed by the FBR to promptly implement the measure, as part of broader efforts to promote tax compliance and uphold the provisions of the Income Tax Ordinance, 2001.
The list of non-filers encompasses 506,671 individuals who have failed to file tax returns for the year 2023, resulting in their exclusion from the Active Taxpayers List. The FBR emphasizes that the process to unblock mobile SIM cards of non-filers will not be straightforward, requiring approval from the FBR or the relevant commissioner.
These stringent measures are designed to encourage individuals to fulfill their tax obligations and contribute to the country’s economic development. Media reports suggest that this action marks the initial phase of the FBR’s strategy to combat tax evasion, with data for over 2 million individuals compiled for subsequent phases.
It is noteworthy that the FBR also possesses the authority to disconnect electricity connections of non-filers, further reinforcing efforts to ensure comprehensive tax compliance across the board.
