A new report has revealed that nearly one-third of Pakistani Tax Filers have declared zero taxable income for the current fiscal year. According to official data, around 1.7 million out of 5.5 million Tax Filers submitted “nil” income tax returns.
This trend has raised serious concerns for the Federal Board of Revenue (FBR), which is already struggling to widen the country’s limited tax base. Officials say that such a high number of zero-income declarations indicates possible tax evasion or underreporting.
The FBR has also detected nearly one million individuals who declared lower incomes than the previous year. The authority is now preparing to start a large-scale audit to verify these discrepancies and take legal action where necessary.
An FBR official told The News that about 977,000 returns showed lower income than last year. “Certain exporters have reported losses, and notices will be issued after October 31. They will be asked to revise their returns or face legal action,” the official stated.
Despite the challenges, the FBR remains confident that the data gathered from Tax Filers will help in identifying potential taxpayers and improving compliance. The agency has already issued several reminders, warning that it has access to financial transaction records.
After the October 31 deadline, targeted notices will be sent to those who declared reduced income. The FBR has also hired 2,000 auditors to conduct a detailed review of returns for the ongoing fiscal year.
In other related news also read FBR Launches Aggressive Campaign Against Tax Non-Filers
The deadline for filing tax returns was extended to October 31, with the FBR expecting around three million additional submissions. The new audit campaign aims to strengthen enforcement, detect false reporting, and boost revenue collection across the country.
