Data integration: KP, Punjab show positive response to FBR

ISLAMABAD: The provinces of Punjab and Khyber Pakhtunkhwa (KP) have shown positive response to the Federal Board of Revenue (FBR) for online data integration for the purpose of broadening the tax base.

Sources told Business Recorder here on Tuesday that the FBR has started consultative process with provinces for data integration to expand the tax net and verification of declared information in the income tax returns. The FBR has given a detailed presentation to the high-level technical committee of National Database and Registration Authority (Nadra) on data integration.

Punjab and Khyber Pakhtunkhwa have given a positive response on the provision of provincial data to the FBR. The provinces have shown willingness on the integration of data. The FBR will also consult Sindh and Balochistan governments under the ongoing exercise on documentation of economy.

“So far, provinces are giving selected data to the FBR. There is no direct data integration with the provinces. We need real time data integration under the streamline mechanism. The national data pool would be established with the help of online provincial data,” sources said.

The FBR and the Nadra had agreed to expand collaboration and exchange data to determine the actual income of existing taxpayers, register new taxpayers, and finalise tax profiles of non-filers.

According to the sources, the FBR has informed the Nadra’s high-level technical committee on data integration that the consultations are underway with the provincial governments. The FBR will also convene follow up meetings with Punjab and KP.

The high-level technical committee has been headed by chairman Nadra. Members of the committee included two senior officials from the Nadra including chief project officer Nadra. Other committee members included chief executive officer (CEO) Pakistan Revenue Automation Limited (PRAL) and two senior FBR officials.

Sources said that the FBR wanted to utilise all kinds of data for expanding the tax net. The idea is to further strengthen data to register non-filers of income tax returns.

The FBR is being legally empowered to impose penalties and prosecute government organisations, which failed to integrate with the FBR’s “real-time accessed data analysis repository (RADAR)” for providing real-time access to information and database of financial and economic transactions.

Copyright Business Recorder, 2024