Steps taken for Broadening of Tax Base in the country by FBR
Steps taken for Broadening of Tax Base in the country by FBR are commendable this will not only help in broadening tax base but also lift unnecessary tax pressure on general public.
The Prime Minister of Pakistan vide LIO No.D-1293/JS(IA-II)/NAP)/2019 dated 30.05.2019 has expressed his concern over narrow taxation base, low tax-to-GDP ratio, systematic aberrations in the taxation system and has desired that concerted efforts be put in to increase taxation base.
In this regard, and in addition to other measures dun are being pursued following need to be taken upon top priority for unearthing new taxpayers.
Account holders having balance of Rs.500,000/- or above
FBR will get Data of bank account holders above the threshold of Rs.500.000/- and examine with the assistance of SBP. Source to be used State Bank of Pakistan.
Data of Power Connections
Data of all Industrial & Commercial Power connections be obtained from DISCOs (Distribution companies) and meaningfully extrapolated to ensure filing of tax returns by all concerned.
Residents (Owners/ Tenants) of 2 Kanals or more
Information about all owners/tenants living in houses of two Kanals or more be obtained. This information will be obtained from registration authorities, housing societies, DHAs, Development authorities.
Ownership of Motor-vehicles of 2400cc and above
Information about all persons owing luxury vehicles of 2400cc and above be scrutinized objectively. Motor vehicles registration authorities and car manufacturers and car-importers will be contacted to gather data.
Frequent Foreign Travelers
Information about frequent foreign travelers be analyzed. Such information will be obtained from FIA/NADRA.
In addition to the above, existing base line data of all the above areas/ indicators alongwith the targets set by field formations for the Tax Year 2019-20 need to be shared by 11.06.2019 positively, as directed by the Prime Minister. The Prime Minister will review the performance of FBR in the context of broadening and widening Tax Base on monthly basis.