FBR to Block 500,000 SIMs of Non-Filers and Under-Filers

As the government intensifies efforts to address economic challenges amidst a financial crunch, the Federal Board of Revenue (FBR) plans to block 500,000 SIMs belonging to non-filers and under-filers, according to sources.

Following an Income Tax General Order (IGTO) to be issued after Eid-ul-Fitr, the FBR will execute the blocking, already making necessary arrangements. This move aligns with the agency’s aim to broaden the tax net, as granted additional powers last year under Section 114B of the Income Tax Ordinance 2001.

Consultations with the Pakistan Telecommunication Authority (PTA) have been held to identify 400,000 SIMs of under-filers and 100,000 SIMs of non-filers. The action aims to curb alleged tax evasion, with SIM blocking expected by April 2024.

Despite identifying two million potential tax evaders, only 0.5 million SIMs will be blocked initially due to telecom companies’ feasibility concerns. The move follows a decline in income tax returns from 5.9 million in tax year 2022 to 4.2 million in tax year 2023.

Additionally, the government initiated the Tajir Dost Scheme to register traders, targeting wholesalers, dealers, and retailers, among others, to expand the tax base. Traders failing to register by the April 30 deadline will face penalties under section 182 of the Income Tax Ordinance 2001.

Zubair Yaqoob

Zubair Yaqoob is a senior anchor, and an investigative journalist with an impressive 37 years of experience. Zubair's journalistic journey has been marked by a relentless pursuit of truth and a commitment to delivering impactful stories. Zubair's expertise extends beyond borders, reaching as far as Malaysia, where he has left an indelible mark on the international journalism landscape. His global perspective and keen analytical skills have allowed him to navigate diverse cultural landscapes, bringing a unique and enriching perspective to his reporting. Whether he's in the studio or on the field, Zubair continues to be a driving force in the world of journalism, bridging gaps, fostering understanding, and unraveling the stories that matter most. As the Headline PK Author, Zubair remains at the forefront of news, guiding audiences through the complexities of our ever-evolving world.