The Pakistan Telecommunication Authority (PTA) has turned down the Federal Board of Revenue’s (FBR) plea to deactivate the SIM cards of more than 500,000 individuals who have not submitted their tax returns.
In response to the FBR’s appeal, the PTA stated that such a directive would lack legal enforceability and would contradict the established legal framework.
The disagreement emerged when the FBR sought assistance from the PTA to deactivate SIM cards belonging to individuals who have not adhered to tax filing requirements. However, the PTA has firmly opposed this request, citing legal considerations and asserting that such action would violate the telecommunications legal framework in the country.
According to sources familiar with the matter, the PTA underscored that deactivating SIM cards based on individuals’ tax filing status would not comply with existing laws and regulations. Instead, the authority proposed that the FBR explore alternative measures, such as initiating legal proceedings against non-filers, to address the issue.
Previously, the PTA had stated that it was reviewing the FBR’s recent decision regarding the suspension of mobile phone SIMs for non-tax filers.
According to an FBR spokesperson, they have been in discussions with mobile phone operators and relevant stakeholders on this matter. They emphasized their intention to take action while considering the regulatory framework and relevant legal provisions.
It’s worth noting that the FBR recently instructed to deactivate the mobile SIMs of users who do not file income tax in Pakistan. Through an Income Tax General Order, the bureau directed the deactivation of mobile SIMs for non-filers of tax returns.
This move follows the government’s crackdown on individuals who have neglected their tax responsibilities. Effective immediately, the SIM cards of all individuals identified as non-filers with taxable income would have been deactivated until May 15.
This directive was communicated through a notification issued by the FBR, instructing telecom companies to implement the measure promptly.
The list of non-filers includes 506,671 individuals who were not included in the Active Taxpayers List due to their failure to submit tax returns for the year 2023.
