Islamabad, Pakistan – The Federal Board of Revenue (FBR) is considering implementing severe penalties for taxpayers who file incorrect or incomplete income tax returns.
The proposed measures include a hefty fine of Rs 1,000,000, freezing of bank accounts, restrictions on property and vehicle purchases, and disconnection of utilities. These penalties are aimed at deterring taxpayers from filing inaccurate returns and ensuring compliance with tax laws. Business Recorder
While these measures may be necessary to address tax non-compliance, tax experts have raised concerns about their potential misuse. They argue that such harsh penalties could punish compliant taxpayers who may inadvertently make mistakes in their returns.
Dr. Ikram ul Haq, a leading tax expert, has supported the FBR’s proposed measures, stating that they are necessary to address the increasing number of “nil” filers who are abusing the system to avoid higher withholding tax rates.
The FBR’s Member Inland Revenue (Operations) has proposed these measures to strengthen enforcement and address tax non-compliance. The implementation of these measures will depend on the approval of the competent authorities.
