In compliance with directives from the International Monetary Fund (IMF), the Federal Board of Revenue (FBR) has opted to deactivate the SIM cards of approximately 2 million people implicated in tax evasion.
The Chairman of FBR has authorized the deactivation of SIM cards belonging to tax evaders and has issued instructions to relevant officials to proceed accordingly.
FBR has identified 1.8 million individuals involved in tax evasion. Additionally, it has been reported that FBR possesses the authority to disconnect electricity connections besides blocking SIM cards of those who have not filed their tax returns.
Furthermore, special powers have been delegated to 145 district tax officers nationwide for this purpose. Action will be initiated against non-filers and tax evaders under Section 114-B.
Sources indicate that FBR had previously sent notices to these individuals, urging them to file their returns, but to no avail. After thorough deliberations among authorities, the decision to block SIM cards has been confirmed.
Earlier in January, reports emerged that FBR had ‘postponed’ a nationwide crackdown against non-filers due to ‘legal issues’. Sources familiar with the matter mentioned that the action was ‘delayed’ due to the non-finalization of the Income Tax General Order, as FBR anticipated potential legal challenges.
The issuance of notices by the IMF to hundreds of thousands of non-filers is part of a broader strategy aimed at enhancing tax compliance in Pakistan.
