ISLAMABAD – The Federal Board of Revenue (FBR) has decided to impose penalties on taxpayers who provide false information in income tax returns, conceal assets or tamper with financial records, it emerged on Monday
The sources said the tax authority has access to nationwide data on taxpayers’ properties and assets, which will be used to verify the information declared in their income tax returns.
Under the proposed scrutiny mechanism, the FBR will automatically compare submitted tax returns with its existing database. Artificial intelligence (AI) will also be used to verify information and identify potential discrepancies.
Taxpayers found concealing assets or altering records may face substantial financial penalties. According to the sources, salaried individuals who incorrectly fill out their income tax returns could face fines of up to 75 per cent of their salary.
The sources further stated that an additional penalty of Rs1,000 per day may be imposed if a fine is not paid within the prescribed timeframe.
The FBR has also provided taxpayers with an opportunity to correct errors in their income tax returns before October 15, according to the sources.
Tax filers have been advised to review their declared income, asset details and other information carefully and ensure that any errors are corrected before the deadline.
The planned measures aim to strengthen the verification of tax returns and identify inconsistencies between taxpayers’ declarations and the records available to the tax authority.
