Federal government to ban foreign travel for non-filers

The federal government has unveiled a budget of Rs18,877 billion for the financial year 2024-25, which includes a significant measure to ban foreign travel for non-filers.

This decision, detailed in the Finance Bill, aims to enhance tax compliance and broaden the tax base.

According to the Finance Bill, non-filers will be prohibited from travelling abroad, with exceptions made for those travelling for Hajj, Umrah, and educational purposes.

The bill also proposes hefty penalties for non-compliance by implementing agencies, with a penalty of 10 crore rupees for the first offence and 20 crore rupees for subsequent offences.

Earlier, the government had prepared measures to take action against 3 million non-filers, including cutting off their electricity and gas connections. These steps are part of a broader crackdown on tax evaders, leveraging existing tax laws to ensure compliance.

According to media reports, rules for disconnecting electricity and gas services to non-filers will be strictly enforced as part of this crackdown. This initiative underscores the government's commitment to tightening tax regulations and addressing the issue of non-filers to improve the country's fiscal health.