According to reports, telecom operators in Pakistan are impeding the process of disabling mobile phone SIM cards for over half a million non-filers, prompting the federal government to consider legal action against them.
Federal Finance Minister Muhammad Aurangzeb and Attorney General for Pakistan Mansoor Usman Awan discussed this matter during a visit to the Federal Board of Revenue (FBR) headquarters.
The FBR presented its plan to deactivate SIM cards belonging to 506,671 individuals not on the active taxpayer list but required to file income tax returns for 2023. However, non-cooperation by the Pakistan Telecommunication Authority (PTA) due to pressure from telecom operators has hindered the implementation of this decision.
In response, the government intends to take action against any party obstructing the inclusion of non-filers into the tax net. The finance minister stressed the army chief’s support for blocking SIM cards of non-filers, emphasizing that opposition to this move should not be tolerated.
The PTA highlighted the importance of balancing the FBR’s objectives with protecting telecom operators’ investments and consumers’ interests. Although over half a million SIM cards will be disabled, individuals are free to acquire new ones, with plans underway to unblock SIM cards for tax-filing individuals.
Additionally, the meeting addressed the challenge of bringing retailers into the tax net, with only 75 out of approximately 3.2 million retailers voluntarily registering with the FBR. Consequently, compulsory registration for retailers will be initiated, and legal action is planned against those remaining outside the tax net.
The meeting also discussed unresolved tax revenue disputes amounting to Rs2.7 trillion, with plans to prioritize cases where the FBR has achieved success at lower stages. To expedite revenue recovery, the government has abolished the first tier of commissioner appeals and plans to increase FBR lawyers’ fees for cases in higher courts.
In conclusion, a comprehensive strategy will be devised to actively pursue pending legal cases for the early recovery of disputed revenue, with an emphasis on expediting the legal process and enhancing legal representation.
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