(PkRevenue.com) – The Federal Board of Revenue (FBR) has released the updated Active Taxpayers List (ATL) for the tax year 2023, which has been updated as of May 26, 2024. The FBR is encouraging all citizens to check their status on this list to avail themselves of the numerous benefits associated with being a compliant taxpayer.
The latest ATL includes the names of 4.39 million taxpayers who have filed their annual income and wealth statements either by the due date or after the due date with the payment of a surcharge. This significant increase in the number of active taxpayers reflects a concerted effort by the FBR to improve tax compliance across the country.
Citizens can easily check their active taxpayer status through an SMS service. To check an individual’s status, one needs to type “ATL (space) 13 digits Computerized National Identity Card (CNIC)” and send it to 9966. For checking the status of an Association of Persons (AOP) or a company, the process involves typing “ATL (space) 7 digits National Tax Number (NTN)” and sending it to 9966. For residents of Azad Jammu and Kashmir (AJ&K), the procedure is slightly different: individuals should type “AJKATL (space) CNIC (without dashes)” and send it to 9966, while those with NTN should type “AJKATL (space) 11 digit NTN (without dashes)” and send it to the same number.
The FBR initially issued the ATL for the tax year 2023 on March 1, 2024, with 3.35 million people listed as active taxpayers. Since then, there has been a significant increase in the number of taxpayers, attributed mainly to the FBR’s recent directive aimed at non-filers. This directive, outlined in Income Tax General Order No. 1 issued on April 29, 2024, mandates telecommunications companies to block the SIM cards of individuals who fail to file their income tax returns and wealth statements for the year 2023. This measure targeted over half a million non-filers, creating a strong incentive for compliance.
This initiative is part of the FBR’s broader strategy to expand Pakistan’s tax base, which is crucial for improving the country’s tax-to-GDP ratio—a key indicator of fiscal health and economic efficiency. By linking tax compliance with essential services like mobile connectivity, the FBR has effectively incentivized taxpayers to regularize their status. Inclusion in the ATL not only prevents the inconvenience of disabled SIM cards but also qualifies individuals for reduced tax rates on various financial transactions, further encouraging compliance.
Despite this progress, the disparity between the active taxpayer base and Pakistan’s total population of approximately 240 million underscores the ongoing challenges in achieving comprehensive tax coverage. The FBR is addressing these issues through intensified outreach efforts, awareness campaigns, simplification of tax procedures, and enhancement of digital infrastructure to facilitate the compliance process.
FBR officials emphasize that these proactive measures are crucial for fostering a robust compliance culture, which is essential for Pakistan’s fiscal stability and sustainable economic growth. By instilling such a culture, the FBR aims to create a more predictable environment for economic planning and development, which is vital for long-term prosperity.
The public accessibility of the ATL is intended to uphold transparency and encourage greater participation in the tax framework. This transparency is expected to foster trust among citizens and promote a fair taxation system where compliance yields tangible benefits. As the deadline for SIM blocking approaches, the FBR is working diligently to ensure higher compliance rates, which are crucial for the country’s broader economic stability and advancement.
The recent surge in active taxpayers highlights the effectiveness of the FBR’s innovative approach to tax enforcement and the importance of sustained efforts to expand the tax base. By maintaining and building upon these initiatives, Pakistan can look forward to a more stable and robust economic future.
In conclusion, the FBR’s updated ATL for the tax year 2023, as of May 26, 2024, represents a significant step forward in the country’s efforts to enhance tax compliance. With 4.39 million active taxpayers now on the list, the FBR’s strategies—particularly the linking of tax compliance to mobile connectivity—have proven effective. The ongoing challenges of broadening the tax base remain, but with continued outreach, simplified procedures, and enhanced digital infrastructure, the FBR is well-positioned to foster a culture of compliance. This will not only ensure fiscal stability but also pave the way for sustainable economic growth, benefiting all citizens of Pakistan.
