Pakistan Real Estate Times - Pakistan Property News

Full Version: Mobile phone users with monthly bill of Rs 8,333 to be taxed
You're currently viewing a stripped down version of our content. View the full version with proper formatting.
ISLAMABAD (October 19 2008): The Federal Board of Revenue (FBR) has decided to bring mobile phone users, having annual bill of over and above Rs 100,000 into the tax-net under the new plan to broaden the tax-base in 2008-2009.

Sources told Business Recorder on Saturday that the FBR had issued instructions to the Director General of Large Taxpayer Units (LTUs) and Regional Tax Offices (RTOs) to obtain record of mobile phone users whose annual bills exceed Rs 100,000 and bring them under the tax net.

It means that the cellular subscriber with monthly bill of Rs 8,333 would be brought into the tax net. According to sources, the FBR also asked the field formations to issue letters to purchasers of new vehicles for brining them on tax roll to ensure broadening the tax-base.

The regional income tax offices would co-ordinate with the motor registration authorities to ensure that the computerised national identity card numbers (CNICs) must be recorded in the registration documents pertaining to newly purchased cars. Under the new plan, income tax officials have decided to obtain record of frequent travellers by air from the travel agents and airlines for brining all such international travellers into the tax net.

Sources said that the income tax department would co-ordinate with the Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL) and Water and Power Development Authority (Wapda) for obtaining regular information of major commercial and industrial consumers for detection of cases of non-payment of tax.

The actual consumption of natural gas/electricity would clearly indicate about the production of these units to ascertain their tax liability. When contacted, tax experts said that the idea of the whole exercise was to bring those persons into the tax net, who were making huge expenses, but not ready to declare their assets/income. "If a person has an annual bill of mobile phone of over Rs 100,000, he must be having some source of income to pay such expenses. In case his employer or company is paying the bill, then the company has to show the mobile phone expenses," the experts said.

Experts said that the department could issue letters to the cellular phone users with over Rs 100,000 to demand National Tax Numbers (NTNs) or ask the non-filers of income tax returns to file return, if required. On the basis of NTN, the department could check/verify the income of mobile phone user for subsequent filing of return, they added.

Similarly, the CNICs of the new purchasers of cars could help the department to check source of income from the concerned person. "If a person has purchased a new car, the NTN of the person could be asked for inquiring about the source of income. The department can obtain the CNIC from the relevant motor registration authorities for probing the income on the basis of information available under the CNIC/NTN database of the FBR," the experts added.

http://www.brecorder.com/index.php?id=822902
Reference URL's