Identifying short filers, tax evaders: 27,000 doctors' data obtained

The Directorate General, Directorate of Intelligence and Investigation, Inland Revenue (IR) has acquired vital data of 27,000 medical practitioners from Pakistan Medical and Dental Council (PMDC) to identify those operating out of the tax net or involved in massive under-reporting of taxes.
Source told Business Recorder here on Friday that the directorate had sought the list of the registered medical practitioners from the PMDC under the on-going exercise for documentation of economy. The council has provided list of 27,000 medical practitioners to the agency for necessary action.
It has been apprehended that many prominent medical practitioners have been involved in massive under-reporting of taxes and concealment of income. There could be other cases where top medical practitioners might have not obtained even National Tax Number (NTN). Some top medical practitioners have been engaged in earning huge income on daily basis, but are reluctant to declare the actual income with the tax department.
It is not necessary that all registered medical specialists with the PMDC are also actively engaged in medical practice in the country. Some of such medical specialists might have gone abroad or are not engaged in practice in the country. In other cases, some of the medical specialists might have stopped their practice, for one reason or another.
Sources said that the information available with the investigating agency about 27,000 medical specialists does not contain computerised national identity card number (CNICs) which is the basic requirement for documentation of the medical practitioners. The directorate is in the process of obtaining CNICs of such big names from the concerned department. With the help of CNICs of medical practitioners, it would be easy for the agency to check all business transactions where CNICs have been used by potential doctors.
Meanwhile, Shahid Hussain Asad, Director General of the I &I Inland Revenue, has directed the Chief Commissioners of Regional Tax Offices (RTOs) to provide the details of the 200-300 renowned medical practitioners who are actively engaged in practice and earning huge income. The agency would ascertain whether these medical specialists have been accurately declaring their income and filing their income tax returns.
The Broadening of the Tax-Base Units in each RTO would provide the data which would be carefully securitised with the help of third-party information like bank account information, foreign travels and other data. The agency is expected to detect under-assessment of taxes and concealment of income on the basis of verification of data which would bring rich medical practitioners within the documented regime. Even if foreign trips of medical practitioners are sponsored by pharmaceutical companies, the information about their bank accounts would help the agency in determining their actual income, sources added.