The Federal Board of Revenue (FBR) has announced that biometric verification will now be compulsory for all new sales tax registrants. The move is aimed at curbing tax fraud and preventing the creation of bogus companies.
According to the new policy, individuals applying for sales tax registration must complete their biometric verification within the first month of registration.
FBR officials explained that this step is meant to block fraudulent elements who misuse citizens’ CNICs to set up fake businesses and commit multi-billion rupee scams.
Transparency in the tax system
FBR stated that the decision reflects its commitment to ensuring transparency and accountability in Pakistan’s tax framework. Officials stressed that the biometric system would help reduce loopholes that have long been exploited by fraudulent actors.
Failure to complete biometric verification within the given timeframe could lead to the suspension of sales tax registration. This warning is intended to push registrants to comply with the new requirement without delay.
Boosting oversight and trust
The apex tax collection agency believes that stricter measures like biometric checks will enhance oversight and restore confidence in the country’s tax administration. By ensuring only legitimate businesses are registered, FBR hopes to build a stronger and more reliable tax system.
Experts say that introducing biometric verification is an important step in aligning Pakistan’s tax practices with global standards. The system is expected to reduce the misuse of identity documents and minimize the chances of fraudulent registrations.
With this new requirement, FBR is taking a firm stand against illegal practices, sending a clear message that tax evasion and fake companies will no longer be tolerated.
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