FBR identifies 9,000 non-filers holding PKR 750 billion in bank deposits

The Federal Board of Revenue (FBR) has identified around 9,000 individuals holding bank deposits worth a combined PKR 750 billion despite paying no income tax, highlighting the scale of undocumented wealth in the country, FBR Chairman Rashid Mahmood Langrial told a parliamentary committee on Wednesday.

Briefing the National Assembly Standing Committee on Finance, chaired by Syed Naveed Qamar, Langrial said the findings emerged after the tax authority gained broader access to databases and expanded its use of technology and data analytics in tax administration.

The FBR chairman said a review of financial data revealed that thousands of individuals maintained substantial bank balances while reporting no taxable income and paying zero income tax.

He said the discovery underscored significant gaps in Pakistan’s tax compliance framework and demonstrated the need for greater integration of financial and tax records to identify potential cases of underreporting and tax evasion.

Langrial told lawmakers that the FBR was leveraging technology to detect discrepancies between declared income, asset ownership and financial transactions. He added that data-driven audits and digital monitoring would play a larger role in future tax enforcement efforts.

The revelation came during a briefing on the government’s proposed tax operating model, which seeks to modernize revenue administration through greater automation and reduced human interaction.

According to the FBR chairman, the authority’s analysis also showed widespread underreporting of income among taxpayers, strengthening the case for reforms aimed at improving economic documentation and broadening the tax base.

The government is pursuing a series of tax reforms designed to boost revenue collection, enhance transparency and improve compliance as part of broader fiscal consolidation efforts. Lawmakers on the committee discussed the implications of the findings and the measures proposed to address gaps in the tax system.

The PKR 750 billion deposit figure is among the most striking examples cited by the FBR in its ongoing efforts to use financial data and technology to identify individuals whose declared income appears inconsistent with their wealth and banking activity.