The Federal Board of Revenue (FBR) has announced measures to penalize unregistered businesses by freezing their bank accounts, seizing properties, and disconnecting electricity and gas meters. In severe cases, non-compliant businesses may face suspension and fines of up to Rs. 1 million, according to sources reported by ProPakistani. The tax authority has identified a significant tax gap of Rs. 3,400 billion in uncollected sales tax and aims to document every stage of business operations, from initial capital to final production.

Manufacturers and wholesalers with annual revenues exceeding Rs. 250 million will be primary targets for tax officers, along with distributors who have not registered. Retailers with annual earnings over Rs. 100 million will also be targeted.

The FBR will closely monitor the production and sales activities across all business sectors to ensure compliance. Those failing to register will face a full range of restrictions and penalties, sources added.