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In a major push to expand the tax base, the Federal Board of Revenue (FBR) has initiated a campaign involving SIM blocking for non-filers, sharing the data of 458,342 unregistered individuals with telecom companies.
The Finance Ministry revealed that under the temporary SIM disconnection drive, FBR shared mobile data of 458,342 unregistered or non-filer individuals with telecom companies. The initiative is part of the broader effort to enforce tax compliance. So far, 276,564 SIMs have been restored after the users registered and filed their income tax returns.
To further strengthen enforcement, 146 District Tax Offices (DTOs) have been established with the specific mandate to register new taxpayers and enforce return filing from non-filers. Their performance is tracked through monthly performance reports and the BTB (Broadening of Tax Base) Dashboard.
As a result of coordinated efforts between DTOs and the BTB Wing, over 448,683 tax returns have been enforced from newly registered individuals during the current fiscal year. The BTB Wing sources data from various channels to identify potential taxpayers and shares it with field DTOs to initiate legal procedures.
In addition, the Director General’s office sends bulk emails and SMS alerts to non-filers to nudge them toward registration and compliance. These efforts are a key part of the FBR SIM blocking for non-filers campaign.
Collaboration with the World Bank
FBR, in collaboration with the World Bank, is developing a software system based on risk analysis to detect potential tax evasion. This tool will significantly improve tax audits and support new taxpayer registrations under the BTB initiative.
As of the current fiscal year 2024–2025, FBR has successfully registered 2,403,831 new taxpayers, resulting in the filing of 2,452,090 new returns and tax collection amounting to Rs1,730 million.
FBR is also working closely with NADRA and provincial governments to integrate national databases for efficient tax base expansion. In the upcoming federal budget, policies will aim to tax all sectors of the economy and shift from turnover-based minimum taxation to profit-based taxation.
Additionally, the Tax Policy Office (TPO) has been formally notified within the Ministry of Finance to formulate long-term fiscal strategies aligned with Pakistan’s economic development objectives.
