NasNY
Chief Minister (5k+ posts)
Pakistan recovers billions from untaxed offshore funds
Pakistani tax authorities have clawed back Rs1.8bn from untaxed offshore funds as a result of the trove of information shared between countries under the Automatic Exchange of Information (AEOI).
Pakistan received information on its citizens who made financial transactions abroad in 2018 and 2019. In the first year, the FBR received data from 27 countries and in the next year from 55 jurisdictions.
The Federal Board of Revenue (FBR) told local news outlet The News that from the data shared, authorities have created a tax demand of Rs4.4bn during past 13 months (January 2019 to January 2020) and recovered Rs1.8bn.
"The recovery of the remaining amount is in litigation [and were hopeful] the cases would be in favour of the FBR," a senior official said.
The official said information of Pakistan was mainly related to financial transactions, including banking, stock and debt securities. The purchases of immovable properties in foreign jurisdictions were not part of the AEOI.
The information shared includes identification, account, and financial information is exchanged, including the name, address, state of residence, and tax identification number of the account holder, as well as information concerning the reporting financial institution, account balance, and capital income.
"[The FBR] would have recovered a much higher amount, but identified persons under the exchange of information availed the last tax amnesty scheme introduced in mid of 2019," the official added.
"Pakistan will receive more information of resident persons from foreign jurisdictions in September 2020." The country will also share information of foreigners making transactions in Pakistan.
The Federal Board of Revenue (FBR) is set to relax restriction on its officials to take permission of the board's head or member Inland Revenue prior to conduct raids or freeze bank accounts for recovery of defaulted tax amount
www.internationalinvestment.net
Pakistani tax authorities have clawed back Rs1.8bn from untaxed offshore funds as a result of the trove of information shared between countries under the Automatic Exchange of Information (AEOI).
Pakistan received information on its citizens who made financial transactions abroad in 2018 and 2019. In the first year, the FBR received data from 27 countries and in the next year from 55 jurisdictions.
The Federal Board of Revenue (FBR) told local news outlet The News that from the data shared, authorities have created a tax demand of Rs4.4bn during past 13 months (January 2019 to January 2020) and recovered Rs1.8bn.
"The recovery of the remaining amount is in litigation [and were hopeful] the cases would be in favour of the FBR," a senior official said.
The official said information of Pakistan was mainly related to financial transactions, including banking, stock and debt securities. The purchases of immovable properties in foreign jurisdictions were not part of the AEOI.
The information shared includes identification, account, and financial information is exchanged, including the name, address, state of residence, and tax identification number of the account holder, as well as information concerning the reporting financial institution, account balance, and capital income.
"[The FBR] would have recovered a much higher amount, but identified persons under the exchange of information availed the last tax amnesty scheme introduced in mid of 2019," the official added.
"Pakistan will receive more information of resident persons from foreign jurisdictions in September 2020." The country will also share information of foreigners making transactions in Pakistan.
The Federal Board of Revenue (FBR) is set to relax restriction on its officials to take permission of the board's head or member Inland Revenue prior to conduct raids or freeze bank accounts for recovery of defaulted tax amount
Pakistan recovers billions from untaxed offshore funds
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www.internationalinvestment.net
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