The Federal Tax Ombudsman (FTO) has expressed strong displeasure over the Federal Board of Revenue's (FBR) failure to impose taxes on cryptocurrency transactions, calling it a sign of incompetence.
According to the FTO, more than 9 million people in Pakistan are using cryptocurrency and the FBR must begin collecting taxes from these users without further delay.
The Ombudsman also directed the government to start consultations in the upcoming budget regarding the imposition of taxes on cryptocurrencies. He recommended that suggestions be taken from tax experts and regulatory bodies for a comprehensive taxation policy.
The FTO revealed that several cryptocurrency users have filed complaints against the FBR for not collecting taxes, while many of them have shown willingness to pay taxes if proper regulations are in place.
Notices have already been issued to the FBR regarding its inaction. While the FBR claimed it is reviewing the taxation of cryptocurrencies. The FTO concluded that FBR has shown clear negligence in handling the matter of cryptocurrency taxation.