Instead of taking a holistic approach to encouraging people to file their income tax forms, the Finance Ministry has adopted punitive measures that may backfire.
The Federal Board of Revenue (FBR) will be allowed to issue income tax general orders for those who are not on the Active Taxpayers List (ATL) but are required to submit returns under section 114B of the Finance Bill 2022-23.
Those who breach the general order on income taxes may suffer any or all of the following penalties:
- Disabling of mobile phones or SIMs
- Disconnection of electricity meter
- Disconnection of gas meter
Only if a person named in the income tax general order files his or her returns will the FBR issue an order to restore these critical services.
Persons who are not required to file returns under applicable income tax legislation shall be exempt from the above-mentioned actions.
To read our blog on “Non-Filers to be identified by NADRA and FBR with the help of Modern Technology,” click here.