ISLAMABAD: Federal Board of Revenue (FBR) Chairman Rashid Mehmood Langrial made a clear announcement that strict action will be taken against individuals who fail to file tax returns.
Finance Minister Muhammad Aurangzeb, Minister of State Ali Pervaiz Malik, and FBR Chairman Rashid Mehmood Langrial addressed a press conference in Islamabad.
During the press conference, FBR Chairman Langrial stated, “We have issued notices to 190,000 individuals, out of which 38,000 people have submitted tax returns amounting to Rs. 3.77 billion. Those who have not filed their returns or paid their taxes will face legal action.”
The chairman highlighted Pakistan’s tax gap, revealing it stands at Rs. 7,100 billion, with an income tax gap of Rs. 2,400 billion. He further noted that the invoicing process is being digitized and the primary focus is on the top 5% of taxpayers. “We are directly monitoring sugar mills, and several mills in Punjab have been caught using fake or flying invoices,” he added.
Finance Minister Muhammad Aurangzeb emphasized the need to permanently reform the tax system, pointing out a potential of an additional Rs. 71 billion in tax revenue.
He stated, “Technology plays a critical role in tax collection. To curb tax evasion, transparency must be integrated into the system. The FBR is reducing human intervention in the tax collection process.”
