Pakistan to block mobile sim cards of over 5 lakh users for not filing tax returns
Authorities in Pakistan have decided to block the mobile phone SIM cards of over half a million users as part of the drive to take action against tax evaders, PTI reported on Wednesday, citing local media.
The SIM cards will stay blocked until restored by the body or the Commissioner Inland Revenue.(Shutterstock/ Representational Photo)
In an order, the Federal Board of Revenue (FBR) said the mobile SIMs of 5,06,671 individuals, who failed to file their tax returns for 2023, will stay blocked until restored by the body or the Commissioner Inland Revenue.
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The federal law enforcement agency also directed the Pakistan Telecommunication Authority (PTA) and all telecom providers to immediately implement the order to block the SIM card and file a compliance report by May 15.
An official told Dawn that the FBR identified 2.4 million potential taxpayers who did not exist on the tax rolls. Notices have been issued to these individuals.
Of the 2.4 million taxpayers, the FBR has selected over 0.5 million for SIM blockade based on one criterion: they must have declared taxable income in one of the past three years, and these individuals did not file their returns for tax year 2023.
According to the Active Taxpayers List (ATL), the FBR received 4.2 million taxpayers until March 1, 2024, as against 3.8 million returns received during the same period of last year.
This shows a marginal increase during the period under review. In tax year 2022, FBR received a total of 5.9 million income tax returns.
The FBR official quoted above also told Dawn that the SIM cards will be automatically restored for persons who file tax returns for 2023.
The newspaper added that the blockade of SIM cards is a new easy measure taken by the FBR to encourage low-income people to submit their tax returns to increase the number of return filers, which so far appears to be a good idea on paper.
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