The Federal Board of Revenue (FBR) has released a comprehensive procedure for blocking and unblocking mobile phone SIMs of non-filers, detailing timelines for telecom operators and tax officials. This move aligns with directives from the Federal Tax Ombudsman (FTO).

Under the new procedure, the FBR will automatically send a list of taxpayers who have filed their income tax returns to telecom companies, enabling the unblocking of their mobile phone SIMs. The FBR has issued a standard operating procedure (SOP) for implementing the Income Tax General Order under Section 114B of the Income Tax Ordinance, 2001.

According to the SOP, service providers are required to reactivate services within 1 to 2 business days after receiving the list. If a taxpayer’s service remains suspended for more than three business days after filing their return, or if they have other objections, they should contact the concerned Commissioner. The Commissioner will analyze the case and report to the Board for resolution if the grievance is valid.

The procedure for issuing and implementing the Income Tax General Order includes several steps:

1. Identification and Verification of Non-ATL Persons: A list of non-filers for a specific tax year will be extracted from the FBR database and communicated to field formations for further scrutiny.
2. Verification from Field Formations: Field formations will verify the eligibility of cases for inclusion in the Income Tax General Order. Chief Commissioners will ensure all legal and procedural requirements are met.
3. Issuance of Certificate by Chief Commissioners: Chief Commissioners will issue a certificate verifying the non-filer status of cases to be included in the Income Tax General Order.
4. Issuance of Income Tax General Order: The FBR will issue an Income Tax General Order detailing the consequences under Section 114B(2) and directing service providers to implement the order immediately.
5. Communication to Service Providers: The Income Tax General Order will be formally communicated to telecom operators and utility companies, with a compliance report required within a specified timeframe.

In cases of non-compliance, legal action will be taken against service providers, including prosecution under Section 196 and penalties under Section 182 of the Income Tax Ordinance, 2001.

The FBR will monitor the enforcement of the ITGO through a dedicated team, tracking compliance and reporting outcomes to higher authorities.