The Federal Board of Revenue has started taking strict action against people who use credit cards but do not pay their taxes. Sources said that banks across Pakistan have begun sharing details of credit card transactions with the FBR.
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The purpose is to check the real income of people who spend large amounts of money but are not listed as tax filers. Officials believe this will help improve transparency and identify those who hide their earnings.
People who file their income tax returns will now have to include details of all shopping done through credit cards. This new rule will help the FBR compare declared income with actual spending. The tax authority has also reminded citizens to submit their returns honestly before October 15, saying that the deadline will not be extended again.
In addition to this, the FBR has started sending messages to tax defaulters to remind them about the approaching deadline. Those who continue to ignore the warnings or submit incomplete information may face legal action. Officials have confirmed that notices will soon be sent to individuals who spend heavily through credit cards but fail to file tax returns.
The FBR has also announced that it will take steps against people who carry out large online transactions without paying taxes. Authorities said that credit card spending will now be used to measure a person’s real financial position and spending habits. They have urged everyone to give complete and accurate information about their bank transactions while filing their tax returns.
