The Federal Board of Revenue (FBR) is tightening the reins on tax evasion in Pakistan. It has issued an Income Tax General Order (ITGO) to disable mobile phone SIMs belonging to over half a million individuals.
These people don’t appear on the active taxpayer list but are legally obligated to file their Income Tax Returns for Tax Year 2023.
Why Are SIMs Being Blocked?
The FBR has identified 506,671 individuals who haven’t fulfilled their tax obligations for the year 2023.
These individuals, though required by law to file their income tax returns, have failed to do so. Consequently, their mobile phone SIMs are being disabled until they rectify their tax status.
The Mechanism Behind the Order:
According to the ITGO issued by FBR, the SIMs of these non-compliant taxpayers will remain blocked until the FBR or the relevant Commissioner of Inland Revenue decides to restore them.
The Pakistan Telecommunication Authority (PTA) and all telecom operators are mandated to enforce this order immediately.
What’s the Deadline?
To ensure compliance, FBR has set a deadline. Telecom operators must furnish a compliance report to FBR by May 15, 2024, confirming the blocking of SIMs as per the ITGO.
What Can Individuals Do?
FBR has made it clear that individuals affected by this measure can restore their mobile phone services by promptly addressing their tax obligations.
They need to file their income tax returns for Tax Year 2023 and provide accurate declarations. By doing so, they’ll not only comply with the ITGO but also regain access to their mobile phone services.
The FBR’s move to block over half a million mobile phone SIMs is a step towards curbing tax evasion in Pakistan. By enforcing tax compliance through such measures, the government aims to strengthen its revenue collection efforts.
If you find yourself affected by this measure, don’t delay—take immediate steps to fulfill your tax obligations and restore your mobile phone services.