LAHORE: The Federal Board of Revenue (FBR) has announced a significant achievement in its tax compliance efforts, recovering a total of Rs7.81 billion in penalties imposed on non-filers over the past five tax years. This substantial recovery underscores the FBR’s intensified commitment to broaden the national tax base and enforce stricter compliance.
Minister Highlights Robust Enforcement Strategy
Minister of State for Finance and Revenue, Bilal Azhar Kayani, revealed these figures during a Senate session on Thursday. Responding to various questions during Question Hour, Minister Kayani detailed the FBR’s robust strategy, which includes stringent enforcement measures and ongoing policy reforms aimed at promoting greater documentation within the economy and encouraging voluntary compliance.
Year-Wise Breakdown of Recoveries
The detailed breakdown provided by the minister illustrates a consistent increase in penalties recovered from non-filers:
Tax Year 2019-20: Rs410 million
Tax Year 2020-21: Rs1.17 billion
Tax Year 2021-22: Rs840 million
Tax Year 2022-23: Rs1.91 billion
Tax Year 2023-24: Rs3.47 billion
These impressive recoveries were largely attributed to enhanced withholding tax rates and aggressive recovery mechanisms specifically designed to target non-filers. Minister Kayani emphasized that financial, legal, and transactional penalties are now being enforced with unprecedented rigor.
FBR’s Transformative Vision
The minister further stated that the FBR is currently undergoing a significant organizational transformation, with weekly oversight meetings being conducted by the Prime Minister himself to ensure that reforms remain on track. He expressed optimism that the concept of “non-filers” will soon be a relic of the past, with concerted efforts focused on bringing all eligible citizens into the tax net, thereby fostering a culture of widespread tax compliance.
Embezzlement at Custom House Lahore Under Investigation In response to a separate Senate query, Minister Kayani also disclosed findings from a 2019 audit at the State Warehouse (Valuables) within Custom House Lahore. The audit unearthed the embezzlement of 43 valuable articles, comprising
