September 26, 2020

FBR serves 485,354 Notices to Unregistered Commercial/Industrial electricity Consumers

As per the government’s efforts to document the massive un-registered economy of Pakistan, the FBR has served 485,354 notices to either unregistered or non-compliant industrial, commercial electricity consumers. The step has been taken to force such users to e-file their taxes as soon as possible. According to the policies introduced, Section 181AA makes it compulsory for every commercial and industrial power user to register with the FBR. The Section also says that the electricity connection would not be installed unless and until the applicant has registered with the FBR.

Earlier, the FBR officials had requested the Power Division to provide data of all commercial and industrial power consumers, who were not registered with the FBR. The Power Division provided data, which showed that there were 267,724 unregistered industrial consumers and around 2.52 million unregistered commercial power consumers. This data, however, does not cover unregistered users in Karachi. K-electric recently issued notices to 253,945 non-compliant industrial and commercial consumers.

Shabbar Zaidi told Dawn that his teams are working with the Regional Tax Offices to gather data of compliance as a result of these notices. The compliance level in Pakistan still remains poor. According to Dawn, there are only 37,146 commercial consumers, who pay Rs 1 million-plus/month in electricity bills, who have registered with the FBR. The industrial consumers who have registered themselves, number around 25,871 and the situation has a lot of room for improvement.

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