Senate Body Approves Proposal to Ban Non-Filers from Travelling Abroad

The Senate Standing Committee on Finance, chaired by Senator Saleem Mandviwalla, has approved a proposal to bar non-filers of income tax returns from international travel.

The committee was informed by Federal Board of Revenue (FBR) Chairman Muhammad Malik Amjed Zubair Tiwana that action will be taken against non-filers under the Income Tax General Order. However, he added that exemptions will be granted to overseas Pakistanis performing Hajj or Umrah, minor children, students, and those holding National Identity Cards for Overseas Pakistanis (NICOP).

The Chairman further stated that the mobile SIMs, electricity, and gas connections of non-filers will also be disconnected. Senator Farooq H. Naek clarified that the ban on non-filers international travel will be equivalent to their inclusion in the Exit Control List (ECL).

Chairman Tiwana also informed the committee that the withholding tax rate for non-filers is higher. He added that their mobile SIMs and businesses can also be sealed.

According to Chairman Tiwana, the list of 5 lac non-filers includes individuals with an annual income of over Rs. 20 lac. However, Amjad Zaheer Tawanah, a committee member, pointed out that these individuals have previously declared their income in their tax returns.

Chairman Tiwana also clarified that individuals who become temporary filers only to purchase a car, plot, or house will pay additional taxes.

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