Islamabad: The Federal Board of Revenue (FBR) has announced plans to closely monitor bank transactions that exceed individuals’ declared income to strengthen tax compliance and curb financial irregularities. The news has been reported in an article on February 12.
According to the details, the initiative led by FBR Chairman Malik Amjed Zubair Tiwana, aims to identify discrepancies between reported income and actual financial activity, ensuring greater transparency in the tax system. Under the new system, banks will play a pivotal role in identifying inconsistencies. The FBR will share taxpayer income and turnover data with financial institutions, using national identity card details as the primary identifier.
Banks will then be required to flag transactions that do not align with the income figures declared in individuals’ wealth statements or tax returns.
The FBR’s measures also extend to real estate transactions. While non-filers will be permitted to purchase property for the first time, taxpayers will be allowed to buy new properties for themselves or their families. However, all such transactions will undergo enhanced scrutiny, regardless of whether payments are made in cash or through equivalent assets.
The FBR’s decision to monitor bank transactions and scrutinise real estate deals underscores its commitment to fostering a more transparent and compliant financial ecosystem. By leveraging data-sharing partnerships with banks and tightening oversight mechanisms, the authority aims to bridge gaps in the tax system and ensure that individuals and businesses fulfil their fiscal responsibilities.
As a graduate in English Literature, Zohaib believes that words are not just a mere figment of imagination. It takes wisdom to be good at them. Following this reason, he is pursuing his career as Public Relations and Content Specialist at Zameen.com.
