Under this bill, non-filers will face several restrictions. They won’t be allowed to vehicles above 800cc or properties exceeding a set value. Acquiring shares over certain limits or opening new bank accounts will also be off-limits. High-value banking transactions capped, though non-filers can still buy motorcycles, rickshaws, and tractors.
Unregistered businesses will face even tighter controls, with their bank accounts frozen and property transactions barred. Additionally, the government will have the authority to seize properties linked to unregistered individuals or businesses. The Federal Board of Revenue (FBR) plans to release a list of such individuals once the government issues a notification.
Non-compliance with sales tax registration will result in frozen accounts, which can only unfrozen within two days after registration and approval by chief commissioners. Interestingly, the bill recognizes dependents of tax filers, such as children under 25, spouses, and parents, as compliant.
Finance Minister Muhammad Aurangzeb, speaking in September, highlighted the government’s determination to crack down on non-filers. He revealed that detailed data on their assets and spending patterns shows luxurious lifestyles funded by undeclared income. The plan aligns with commitments made to the International Monetary Fund (IMF).
The FBR has already analyzed transaction data of 200,000 non-filers and prepared to target 5,000 in the first phase, expecting to recover Rs7 billion in unpaid taxes. With these steps, the government aims to bring more sectors like real estate, retail, and agriculture into the tax net.
The government has tabled the “Tax Law Amendment Bill 2024-25” in the National Assembly, targeting tax non-filers with stricter measures. This move aims to curb tax evasion and expand the tax net by enforcing tougher rules for those who evade taxes.
Under this bill, non-filers will face several restrictions. They won’t be allowed to purchase vehicles above 800cc or properties exceeding a set value. Acquiring shares over certain limits or opening new bank accounts will also be off-limits. High-value banking transactions will capped, though non-filers can still buy motorcycles, rickshaws, and tractors.
Unregistered businesses will face even tighter controls, with their bank accounts frozen and property transactions barred. Additionally, the government will have the authority to seize properties linked to unregistered individuals or businesses. The Federal Board of Revenue (FBR) plans to release a list of such individuals once the government issues a notification.
Non-compliance with sales tax registration will result in frozen accounts, which can only unfrozen within two days after registration and approval by chief commissioners. Interestingly, the bill recognizes dependents of tax filers, such as children under 25, spouses, and parents, as compliant.
Finance Minister Muhammad Aurangzeb, speaking in September, highlighted the government’s determination to crack down on non-filers. He revealed that detailed data on their assets and spending patterns shows luxurious lifestyles funded by undeclared income. The plan aligns with commitments made to the International Monetary Fund (IMF).
The FBR already analyzed transaction data of 200,000 non-filers and prepared to target 5,000 in the first phase, expecting to recover Rs7 billion in unpaid taxes. With these steps, the government aims to bring more sectors like real estate, retail, and agriculture into the tax net.
