FBR Delays Nationwide Crackdown Against Non-Filers

According to the latest reports, the Federal Board of Revenue (FBR) has delayed its nationwide crackdown against non-filers. For all those unaware, FBR has been planning to suspend SIMs and utility connections, including gas and electricity for people who didn’t file their taxes in response to the International Monetary Fund’s (IMF) demand. However, sources claim that this decision has been delayed due to some legal issues. Anyhow, this is a good piece of news for the non-filers for some time as the action is being postponed due to the non-completion of the Income Tax General Order. Once the legal issue is resolved, FBR will start the crackdown.

Reports claim that taking such measures might lead to legal challenges in the courts. FBR has not disclosed a specific date for the crackdown. However, some insiders claim that the action against non-filers could potentially be initiated by March 1. Once the active taxpayer list is released, FBR will start suspending SIM cards, gas, and electricity connections for non-filers.

A few days back, several reports started surfacing online that non-filers SIM cards and mobile phones would face suspension by the tax authority. It caused panic among non-filers who feared potential disconnection of their SIMs as well as electricity and gas services. Moreover, the situation also created confusion among the people regarding when the FBR would enforce these measures following the expiration of the warning deadline.

Last week, the Executive Board of the International Monetary Fund (IMF) ended the first review of Pakistan’s economic reform program supported by its Stand-By Arrangement (SBA). The Finance Ministry stated:

“The Board’s approval allows for an immediate disbursement of SDR 528 million (around US$ 700 million), bringing the total disbursements under the SBA to US$ 1.9 billion,”

It seems like the IMF’s intervention is part of a broader strategy aimed at enhancing tax submission in Pakistan. That’s why, several notices were issued to hundreds of thousands of non-filers. It is quite obvious that the imminent crackdown highlights the government’s commitment to strengthening revenue collection and ensuring tax compliance across the country.