ISLAMABAD: Pakistan Telecommunication Authority (PTA) has refused FBR to block SIMs of more than 500000 non-filers.
The FBR had urged the PTA on April 29 to block the SIMs of 506,671 individuals who had not filed their tax returns for the fiscal year 2023.
In a statement released, the PTA conveyed that the matter required thorough review. It highlighted concerns regarding Section 114-B of the Income Tax Ordinance 2001, which empowers the FBR to issue Income Tax General Orders (ITGO) for blocking SIMs of non-filers.
The PTA noted that many SIMs are registered under male family members’ CNICs, impacting females and juveniles who rely on these connections for communication, education, and other essential activities.
Moreover, it added that blocking SIMs could affect financial transactions such as online payments, remittances, online banking and e-health activities, thus causing “multiple issues”.
Additionally, the PTA notified against the potential negative impact on foreign investment and the government’s digital transformation goals.
The PTA suggested that instead of blocking SIMs at the first instance, the FBR needed to pursue “other alternative modes for ensuring better compliance for filing of income tax returns” such as awareness campaigns.
Furthermore, the telecom authority said the issue needed to be reviewed in a “holistic manner after discussion with all stakeholders”, including the Ministry of Information Technology and Telecom.
A separate statement from the PTA issued today said it communicated to the FBR that the ITGO needed a review before its implementation, adding that the authority had already also initiated consultation with stakeholders on the subject issue.
