FBR will notify categories ineligible for bank accounts

ISLAMABAD: The Federal Board of Revenue (FBR) will notify category of persons, who will not be able to open new bank accounts or operate existing bank accounts under the Finance Bill 2025-26.

In the Finance Bill 2025-26, it is proposed that a banking company shall not open or maintain an already opened current or saving account or investor portfolio security account except Asaan account or pensions account in the name of such person as notified by the board.

It is further proposed that the banking company shall not allow cash withdrawals from any of the bank accounts of any person exceeding the amount as may be notified by the board from time to time.

Both the proposed amendments will be applied through a notification specifying the persons who cannot open or maintain bank account. Similarly, a threshold would be notified for withdrawal of cash from the bank by any person.

Under the Finance Bill 2025-26, Section 114C is proposed to be inserted in the Income Tax Ordinance, 2001, whereby, restrictions would be placed on economic transaction by certain persons. Only eligible persons and their immediate family members would be able to purchase vehicles and property, whereas, ineligible persons will not be able to do so.

The provision would be applicable from a date to be notified by the federal government and on the threshold of the transaction on which the restriction would be applicable.

The eligible person has been defined within the proposed section and means a person who has filed return of income for the tax year immediately preceding the tax year of transaction and has sufficient resources in the wealth statement in the case of an individual, or financial statement in the case of a company or an Association of Persons, as the case may be for such transaction.

Copyright Business Recorder, 2025