FBR sends notices to 240,000 non-filers

ISLAMABAD: Under its action against potential tax dodgers, the Federal Board of Revenue (FBR) sent out tax notices to 240,000 non-filers after obtaining information from all the relevant sources and generated a demand of Rs14 billion.
At a time when International Monetary Fund is expressing its concerns over narrowed tax base and revenue shortfall during the ongoing review talks at Dubai, the FBR has come up with sharing details about actions against potential taxpayers with the purpose to broaden the tax base.
According to the FBR’s announcement on Monday night, during the ongoing drive for broadening tax base, the Directorate General (BTB) under the leadership of its new Director General Rehmatullah Wazir has obtained transaction-based and non-transaction based information with a total of 240,000 from various sources, which include information from motor vehicle registration authorities, car manufacturing companies, electricity supply and distribution companies, property registration authorities, mobile phone subscribers Cos, Medical and Dental Council, Pakistan Engineering Council, Pakistan Bar Council and information from Jamal’s Yellow Pages (Business concerns).
This information, the FBR says, is collated and integrated in the IT Wing of FBR /PRAL along with already available information for preparation of profiles of potential taxpayers. FBR and its field formation have already issued notices to the tune of 240,000 for enforcing returns. In cases where returns have not been filed in potential taxpayers, orders under Section 122C of the Income Tax Ordinance, 2001 have been passed and demand over Rs14 billion have been created. New taxpayers have already paid amount of tax of Rs570m.
The Directorate General (BTB) has also taken recovery measures against chronic defaulters. In 278 cases bank accounts have been attached, warrants for arrest in 40 cases have been issued and in 117 cases vehicles have been attached and impounded. In 78 cases properties have been attached for auction/sale.
The Directorate General (BTB) has also sought information from other sources which include information from airlines regarding frequent domestic and foreign travellers; information from Land Developers/Constructors of Commercial/Residential buildings regarding allottees/purchasers of flats/shops/plots etc; information from banks regarding cash withdrawal of Rs5 million and above; information regarding dealers/distributors of big companies such as Unilever Pakistan Ltd. Philips Morris (Pakistan) Ltd. Procter & Gamble Pakistan (Pvt) Ltd, Pakistan Tobacco Co, Ltd etc; information from National Database Registration Authority (Nadra) regarding traders/vendors/businessman, industrialists, etc.; information from ICAP/ICMA regarding its members; information regarding members of high court bars/Pakistan tax bars etc.; information from insurance companies; information from district motor vehicles registration authorities regarding vehicles of 1000CC and above; information from schools, colleges and universities regarding education fee payers of Rs100,000 and above; and information from big mobile phone subscribers of Ufone, Warid, Mobilink and Zong.
When central data bank based on the above information will be 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 across the Board in fair and equitable manner against all the potential taxpayers.