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Homepage Blog Business Govt Plans Tough Crackdown on Tax Evaders in IMF-Driven Budget Reforms
Business

Govt Plans Tough Crackdown on Tax Evaders in IMF-Driven Budget Reforms

By
Ali
Last updated: May 19, 2025
2 Min Read
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budget 2025

The federal government is preparing to introduce strict measures against tax evaders in the upcoming budget, aiming to meet key conditions agreed with the International Monetary Fund (IMF) under its ongoing loan programme.

According to official sources, the government intends to eliminate the “non-filer” category entirely. Once removed, individuals who fail to file taxes could be barred from major financial transactions, including purchasing vehicles and property. The move is part of a broader revenue reform drive to enhance compliance and transparency.

Insiders from the Federal Board of Revenue (FBR) confirmed that multiple steps are underway to overhaul the tax system. These include the use of third-party data to identify defaulters, activating the Compliance Risk Management System in key cities like Islamabad, Karachi, and Lahore, and expanding the system to corporate tax units.

Read More: Fiscal Imbalance Widens in 15-Year Budget Review

During recent negotiations, IMF officials reportedly raised concerns about Pakistan’s fiscal management, external risks such as U.S. trade tariffs, and regional tensions. The Fund has urged immediate hikes in electricity and gas tariffs and called for the gradual rollback of tax concessions offered to special economic zones.

Officials also admitted that the government’s Tajir Dost Scheme, launched to bring small traders into the tax net, had not delivered the expected results. However, they highlighted a 51% rise in filer numbers among traders and wholesalers following increased withholding tax on unregistered businesses.

TAGGED:Economic PolicyFBR initiativesIMF loan conditionsnon-filers crackdownPakistan budget 2025revenue collectiontax reforms

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