Around 7.4 million potential tax evaders have been identified by the Federal Board of Revenue, The News reported on Friday.
The potential evaders have transactions worth billions of rupees, have paid withholding tax on the purchase of properties, vehicles, and other luxurious items but refuse to come into the tax net, said Special Assistant to PM on Revenue Dr. Waqar Masood.
Masood said the board identified 250,000 individuals out of one million filers who claimed “absolutely no income” but were found to have paid Rs20 billion in withholding taxes which means their “transactions are worth over Rs200 billion”. He said FBR served “very polite” tax notice to 70,000 biggest asset holders excluding the salaried persons.
The special assistant was convinced the technology will help make tax evasion impossible.
The SAPM shared that the tax authority divided the database of 7.4 million National Tax Number (NTN) holders into four to five classes, adding that the data showed only 2.7 million filed tax returns while 3.7 million did not file returns for the last five years.
When tax authorities analyzed their data, they found Rs100 billion paid in withholding taxes. It indicates that they were conducting transactions worth billions of rupees.