ISLAMABAD: In response to a recommendation from the Federal Board of Revenue (FBR), the telecommunication companies have blocked more than 9,100 mobile phone SIM cards of those who have not filed their tax returns, local media reported.
While quoting FBR spokesperson Bakhtiar Ahmed Khan, local media reported that the revenue authority has provided data of 30,000 non-filers to cellular companies, indicating that further SIM card blocks are imminent.
He stated that FBR will continue to furnish data on 5,000 non-filers daily to telecom companies, enabling them to take strict measures against them.
So far, FBR has identified over 550,000 non-filers. Earlier, FBR announced an additional 87.5 percent withholding tax on mobile top-ups for non-tax filers.
According to the new policy, non-filers will face a 90 percent withholding tax on mobile top-ups until they submit their income tax returns. For instance, if a non-filer adds Rs 100 to their mobile balance, they will only receive Rs 10 as Rs 90 will be deducted as tax.
Even if a user buys a new SIM after their previous one is blocked due to non-payment of taxes, they will still be subject to the 90 percent tax on mobile top-ups. Non-filers will also incur additional taxes on every top-up and bundle purchase.
While FBR shared lists of over 500,000 non-filers with the Pakistan Telecommunication Authority (PTA) and cellular companies for SIM card blocks, the request was declined by both the PTA and the cellular companies.
