Non-filers likely to be barred from travelling abroad

The federal government has tightened the noose around individuals who do not file their tax returns.

In the annual budget 2024-25, the Federal Board of Revenue (FBR) has proposed barring non-filers from travelling abroad.

Presenting the budget for the upcoming fiscal year, Finan­­ce Minister Muhammad Aurangzeb said the move aimed to increase the tax base and widen the tax-to-GDP ratio.

The government is also mulling amending Section 114B of the Income Tax Ordinance, 2001 to stop tax evaders from travelling to foreign countries.

“[A] citizen of Pakistan who is liable to file tax returns but doesn’t do so can be stopped from travelling abroad if the proposal is passed by the parliament," the finance bill read.

However, the ban would not impact the National Identity Card for Overseas Pakis­tanis holders, minors and students.

The tax body has already started a crackdown against non-filers through the Income Tax Ordinance by blocking their SIMs.

The FBR also warned of imposing a penalty of up to Rs200 million if any implementing agencies neglect the orders.