The government has introduced the Tax Law Amendment Bill 2024-25 in the National Assembly, aiming to further tighten restrictions on non-filers.
Key Restrictions for Non-Filers
According to the proposed amendments, non-filers will face several restrictions:
- Prohibition on purchasing vehicles exceeding 800cc.
- Restrictions on purchasing properties beyond a specific value.
- Ban on buying shares exceeding a certain limit.
Additional Limitations
Additionally, non-filers will not be allowed to open bank accounts. They will face limits on banking transactions above a specific threshold. However, they will be permitted to purchase motorcycles, rickshaws, and tractors. Bank accounts of unregistered businesses will be frozen.
Property and Business Restrictions in Tax Law Amendment Bill 2024-25
If approved, the amendment will also impose the following:
- Unregistered businesses will not be able to transfer properties.
- The government will have the authority to seize the properties of unregistered individuals.
- The Federal Board of Revenue (FBR) will issue a list of individuals whose accounts will be frozen.
Implementation and Compliance in Tax Law Amendment Bill 2024-25
The restrictions will take effect after the issuance of a notification by the federal government. Bank accounts will be frozen for those failing to register for sales tax. Property transfers will also be restricted for non-registration. Accounts will be unfrozen within two days of completing sales tax registration.
Appeals and Automatic Filers
To unfreeze accounts, individuals will need to file an appeal with the Chief Commissioner. Additionally, the parents, spouse, and children (up to 25 years of age) of filers will automatically be considered filers under the proposed amendment.
Impact and Enforcement
This amendment aims to ensure compliance and broaden the tax base. By imposing these restrictions, the government seeks to encourage non-filers to register and contribute to the national revenue. The enforcement of these measures will be crucial in achieving the desired outcomes.
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