Pakistan’s telecom companies are pushing back against a recent decision by FBR to block the SIM cards of individuals who haven’t filed their tax returns.
The companies, represented by the Cellular Mobile Operators (CMOs), sent a letter to the Ministry of IT and PTA expressing concerns about the move’s legality and potential negative impact on consumers.
According to the CMOs, the FBR’s order, issued under the Income Tax General Order (ITGO), violates consumer protection regulations. They argue that the order lacks proper legal grounds and doesn’t provide for the mandatory prior notice typically required before service suspension.
The letter highlights the potential legal repercussions for telecom companies if they comply with the ITGO. Customers whose SIMs are blocked could sue for damages and losses incurred due to the disruption.
The CMOs propose alternative solutions, suggesting that the FBR should directly penalize delinquent taxpayers without involving the telecom industry. Additionally, they emphasize the need for legal amendments to protect telecom companies from potential lawsuits arising from the implementation of the ITGO.
Beyond legal concerns, the letter outlines technical challenges associated with mass SIM blocking. Implementing the FBR’s order would require significant technical adjustments and notifying a large number of customers, all within a limited timeframe.
Telecom companies also advocate for due process for affected individuals. They propose a public awareness campaign and the issuance of individual notices, allowing taxpayers a chance to address the issue before facing SIM blockage.
This development signifies a potential roadblock in the FBR’s attempt to enforce tax compliance. The telecom industry’s opposition highlights the need for a more collaborative approach that prioritizes consumer rights and legal considerations.
