The Federal Board of Revenue (FBR) has issued new directives to prevent tax evasion and misuse of industrial connections. In a major step, FBR bars utility companies from changing industrial NTNs or STRNs, ensuring that only verified businesses can alter their tax registration details.
According to an official notification, all power distribution companies, gas utilities, and other related service providers have been instructed to strictly follow this new rule. The move aims to curb fraudulent activities where some businesses allegedly used multiple or incorrect registration numbers to avoid taxes.
The FBR clarified that FBR bars utility companies from changing industrial NTNs or STRNs to protect the integrity of the national tax system. Utility companies are now required to cross-check every request for a change in tax number with the FBR database before making any modification.
Officials emphasized that no utility company will be allowed to alter the National Tax Number (NTN) or Sales Tax Registration Number (STRN) without formal verification from the FBR. Any violation of this order will result in strict action, including heavy penalties and possible legal consequences.
The decision comes after several reports of tax manipulation, where industrial consumers used fake or inactive tax numbers to benefit from lower rates or avoid tax audits. The FBR’s new policy will help ensure transparency and strengthen monitoring of industrial tax compliance.
Tax experts have welcomed the move, saying it will bring greater accountability in the energy and industrial sectors. They noted that FBR bars utility companies from changing industrial NTNs or STRNs will help close loopholes in the system and improve revenue collection.
The FBR has also urged all industrial units to verify their NTNs and STRNs through official channels to avoid future issues. The board assured that the new rule will not affect legitimate businesses that comply with tax laws.
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