In a Major Development, FBR and Banks Reach An Agreement For Real Time Data Sharing
As per the agreement, banks will provide real-time data of its account holders to the federal tax authority.
In a bid to keep a close eye on the undocumented money in the banking channels, the Federal Board of Revenue has reached an agreement with the commercial banks.
As per the agreement, banks will provide real-time data of its account holders to the federal tax authority. The two parties— FBR and chief executives of commercial banks—reached the agreement in a meeting held at the Large Taxpayers Unit (LTU) Karachi a couple of days ago.
According to media sources, Pakistan Banks Association also agreed to withdraw its petitions from the High Courts and to provide account holders’ information under section 165A (of the Income Tax Ordinance, 2001).
“It would enable the tax department to access real-time information of transactions made through the banking system,” the source added.
Following the agreement, banks will now provide real-time data of the following account holders.
- An account holder who withdraws Rs50,000 per day or over Rs1 million per month.
- Deposits of Rs10 million per month.
- Credit card payment of Rs250,000 per month.
- A person receiving profit on debt above Rs500,000 per year.