Govt to restrict non-taxpayers from opening bank accounts and making major purchases

Islamabad: The Pakistani government has announced a series of measures aimed at cracking down on non-taxpayers, with a new amendment bill presented in the National Assembly. The bill proposes strict restrictions on non-tax filers, making it more difficult for them to carry out financial transactions and make large purchases.

Under the proposed amendment, individuals who fail to pay taxes will face multiple restrictions. They will be prohibited from opening bank accounts, buying vehicles with engine capacities above 800cc, and purchasing property beyond a specified limit. Furthermore, non-taxpayers will not be able to conduct transactions exceeding a certain threshold, and their bank accounts will be frozen if they fail to register for sales tax within two days of being notified.

The Federal Board of Revenue (FBR) will be empowered to freeze the accounts of individuals who do not comply with tax regulations, ensuring greater enforcement of the new measures.
However, there will be some exceptions. Non-filers will still be allowed to purchase certain items such as rickshaws, motorcycles, and tractors. In addition, family members of tax filers—including parents, children up to the age of 25, and spouses—will also be recognised as filers for tax purposes.

The government has made significant strides in increasing the number of tax filers. Federal Finance Minister Muhammad Aurangzeb recently highlighted that the number of tax filers in Pakistan has doubled in the fiscal year 2024, reaching a total of 3.2 million, up from 1.6 million last year. He also announced that 723,000 new filers had joined the tax net this year.

The government’s crackdown on non-filers comes as part of an ongoing effort to boost tax collection in the country and reduce the tax gap. The new measures are expected to have a significant impact on tax compliance, further encouraging citizens to register and fulfil their tax obligations.