ISLAMABAD  -  Pakistan Muslim League-Nawaz-led federal government on Thursday tabled before the Senate a copy of the money bill that aims to put restrictions on tax evaders, non-filers and non-compliant of tax laws, besides streamlining tax collection.

Law Minister Azam Nazeer Tarar, on behalf of the finance minister, laid before the house a copy of the Tax Laws (Amendment) Bill 2024, which was introduced in the National Assembly, a day earlier.

Under the Constitution, the Upper House of Parliament has no powers to legislate on financial matters of the central government. However, Article 73 requires the Senate to give its recommendations to the Lower House on the money bill, within 14 days, following its transmission to the house.

The bill proposes amendments to several tax-related laws including the Sales Tax Act 1990, the Income Tax Ordinance 2001 and the Islamabad Capital Territory (Tax on Services) Ordinance 2001.

The proposed bill grants tax authorities sweeping powers to ensure compliance with tax laws. Under these powers, any non-compliant individual would be prohibited to operate any bank account and face a bar on transfer of his immovable property. The bill seeks to give powers to the tax authorities to seal unregistered businesses and seize moveable properties of those not complying with tax laws.

The proposed law seeks to abolish the existing terms of ‘filer, non-filer and late filer’ by replacing them with ‘eligible person’ and ‘ineligible person’. The eligible person would be someone who has filed his most recent income tax return and declared sufficient resources in the wealth statement, or financial statement in case of a company.

The bill proposes restrictions on economic transactions of ineligible persons. Such people would face a bar on opening or maintaining an already opened current or saving bank account, purchasing vehicles over 800cc and on registering, recording or attesting transfer of any immovable property.

Under the law, the Federal Board of Revenue (FBR) will install point-of-sale (POS) devices in the Islamabad Capital Territory to collect sales tax on taxable services.

Separately, Minister for Religious Affairs Chaudhry Salik Hussain informed the house that it was the primary responsibility of PTI-led provincial government in Khyber Pakhtunkhwa (KP) to restore peace in the Kurram tribal district where recent violent incidents have claimed over 100 lives and many others injured.

Speaking in the house on behalf of the interior minister, Hussain said the federal government was ready to help the KP even though maintaining law and order was the primary responsibility of the provincial government in its respective territory.

“We have extended our cooperation to the KP government but there is no response from the other side,” the federal minister said while responding to the query that the troubled area was short of life saving medicines due to closure of roads.

He said even if there was a land dispute in the region, it was also the domain of the provincial government to handle it as the revenue department comes under its control.

Holding everyone responsible for the situation in the district, he said even Chief Minister Ali Amin Gandapur did not participate in the jirga called by KP Governor Faisal Karim Kundi over the deteriorating law and order situation in the province.

Earlier, PTI-backed Senator Raja Nasir Abbas speaking on his call attention notice urged the chair to form a house committee including treasury members to assess the situation in the Kurram district. He said there was a serious shortage of medicines and food items in the area as it had been cut off with the rest of the province for the last over two months. Many children have died due to shortage of medicines, he added.

Demanding restoration of the road connectivity of the tribal district with other parts of KP, the opposition lawmaker came down hard on his own party’s KP government for its insufficiency and failure to restore peace in the region. He said that a request was made to jailed leader Imran Khan to ask CM Gandapur to at least appoint some competent deputy commissioner in the district but to no avail. He severely criticized the KP government spokesperson for allegedly giving a misleading statement that there was no shortage of medicines in the violence-hit area.

Senator Abbas questioned what was the performance of the federal and provincial governments and the institutions dealing with security matters and in the same breath, held them responsible for the situation in Kurram. He said no one involved in recent violent clashes and terrorist attacks has been apprehended

He asked the chair to take notice of the matter and summon the provincial chief secretary and inspector general of police to question them why they could not stop this violence. “We would protest and raise their voice throughout the country against this brutality,” he said.

Senator Manzoor Ahmed, who was chairing the session, ruled that the government should ask the interior minister to coordinate with the provincial chief secretary to get a report and restore peace in the area.