This letter refers to the news report ‘FBR to abolish non-filer category, tightens curbs on tax dodgers’ (September 25, 2024). This move is part of a broader strategy to enforce stricter rules on those who don't file tax returns. The non-filer category was introduced as an attempt to incentivize individuals to become tax filers by imposing higher taxes on non-filers for certain transactions, but it badly failed to achieve its objectives. It is important to understand the reasons why people would rather pay higher tax instead of filing tax returns. The complex procedures, fear of being harassed by tax officials, audits and inspections, perception of government corruption and misuse of funds, and lack of tangible benefits discourage people from becoming tax filers. An easier and user-friendly tax filing system such as through mobile apps or ATM-style submission centres would help. Flat tax rates or unified tax brackets for certain income levels could eliminate complicated calculations and deductions. Tax officials must also be subject to scrutiny from independent bodies, minimizing opportunities for bribes or misconduct.
Sajid Awan
Dubai
It feels as if we’ve started mistaking dependency for progress. Just staying functional is being celebrated as...
The government has announced a Rs7.41 per unit reduction in electricity prices under seasonal tariff adjustments....
Agricultural progress holds great significance for the country’s development. A ‘green revolution’ can be...
The escalation in the trade war triggered by US President Donald Trump’s tariffs barrage has caused turmoil in...
Karachi has been grappling with a significant number of traffic accidents, many of which are attributed to heavy...
The worsening condition of roads in Pehalwan Goth, Karachi has made driving in this area a test of endurance. The...
