KARACHI: Federal Board of Revenue (FBR) has been suggested for mining its database in order to identifying new taxpayers and ease burden on the existing taxpayers.
The Pakistan Business Council (PBC) in its proposals for budget 2022/2023 submitted to the FBR, said that the country had low taxpayer base which resulted in reliance on the existing taxpayers.
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“The number of taxpayers needs to be significantly increased – the narrow taxpayer base is leading to greater pressure on the existing taxpayers.”
There is need to document the economy and provide level playing field to the formal sector.
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The PBC suggested mining of FBR’s database to identify new taxpayers and those not fully discharging their liabilities.
The FBR has got access to financial data in various forms including the monthly statements submitted by withholding tax / collecting agents as per various sections. Information as per Statement under sections 165A, 165B, 175A of Income Tax Ordinance, 2001 and NADRA, FIA, Bureau of Immigration and Overseas Employment records are also available.
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“This can be a start to bringing new taxpayers in the net. In addition, the FBR has also collected data about tax paid by non-filers on vehicles, immovable property and on gains made in the Stock Market,” it added.
Earlier, the PBC also recommended restriction on use of cash above certain limit. “Restrictions on use of cash above a certain limit would also assist,” the PBC said.
