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Thursday March 28, 2024

Tax authorities start recovery drive against 2.5m evaders

KARACHI: Tax authorities have initiated an aggressive recovery drive against around 2.5 million evaders in a latest attempt to broaden the tax net, revealed official data on Wednesday. A report submitted by the Directorate General of Broadening of Tax Base (BTB) to the Federal Board of Revenue showed the recovery

By Shahnawaz Akhter
January 29, 2015
KARACHI: Tax authorities have initiated an aggressive recovery drive against around 2.5 million evaders in a latest attempt to broaden the tax net, revealed official data on Wednesday.
A report submitted by the Directorate General of Broadening of Tax Base (BTB) to the Federal Board of Revenue showed the recovery notices worth Rs14 billion have been served to the tax evaders.
The directorate has so far recovered Rs570 million through the recovery drive aiming at freezing bank accounts, impounding vehicles and attachment of properties of tax defaulters.
According to the statistics, bank accounts have been attached in 278 cases, warrants for arrest issued in 40 cases, vehicles impounded in 117 cases and properties attached for auction/sale in 78 cases.
Rehmatullah Khan Wazir, Director General BTB said once the central data bank is created all the potential taxpayers will be brought into the tax net and no one will be left untaxed.
“All the information will be used fairly and action against all the potential taxpayers will be equitable,” Wazir added.
The report suggested that the sources of information about potential taxpayers are numerous.
The directorate obtained information about potential taxpayers from car manufacturing companies, electricity supply and distributing companies, property registration authorities and mobile phone operators.
Banks were asked to share information about accountholders withdrawing cash of Rs5 million and above. Motor vehicle registration authorities were asked about owners of 1000cc or above vehicles.
This information is integrated with the information technology wing of the FBR, Pakistan Revenue Automation (Pvt) Ltd.
Moreover, the FBR and its field formations have already issued 240,000 notices to individuals who have not filed returns.
Meanwhile, orders under section 122C of the Income Tax Ordinance, 2001 have been passed in which tax demand totaling Rs14 billion has been created.
The directorate also issued memos for information regarding dealers and distributors of big companies, such as Uniliver Pakistan Limited, Philips Morris (Pakistan) Ltd, Procter & Gamble Pakistan (Pvt) Ltd, Pakistan Tobacco Co, Ltd, etc.
Data of traders, vendors, businessmen and industrialists was sought from the National Database and Registration Authority, while tax professional bodies were asked to provide details of their members.