The Central Board of Revenue (CBR) has sought fresh data from five sources, including PTCL, mobile phone companies, utility agencies, motor registration authorities, natural gas suppliers and foreign travellers, to update the "NEXUS" system for broadening the tax-base.
Official sources told Business Recorder on Tuesday that the CBR wants to update the information pertaining to mobile phone subscribers, owners of motor vehicles, foreign travellers, industrial consumers of electricity and natural gas to compile database about the persons liable to tax, but not paying anything.
Pakistan Revenue Automation Limited (PRAL), engaged in updating the "NEXUS", informed the CBR that the computer programme contained data of NTN holders up to July 2005. "NEXUS" has contained data of income tax challans (2000-2001 to 2004-2005); sales tax data (July-2001 to June 2005); STARR refund data, (July 2001-June 2005); central excise, (July 2000 to June 2004) and customs data, including import/export/rebate for the period of July 2000 to September 13, 2005 has been uploaded on "NEXUS".
PRAL also informed CBR that the data coming from the dry ports (up to August 2005) has been updated.
It also contained data of electricity consumers of Lahore and Karachi; foreign travellers; survey data; mobile phone companies; motor vehicles data of Karachi and Lahore; gas consumers of the Sui Southern Gas Company Limited (SSGCL), whereas PRAL has not mentioned about the availability of data of consumers operating within the jurisdiction of Sui Northern Gas Pipelines Limited (SNGPL).
Interestingly, when the CBR launched the Integrated Tax Information System (ITIS) in Lahore, it was claimed that the system would be used to discover the new taxpayers. At that time, officials claimed that the tracking system would help in identifying potential taxpayers and system would be replicated in all major cities. However, the system was not updated from time to time and did not play any major role in searching the new taxpayers.
Sources said that the government faces many difficulties in broadening the tax base. These included culture, large informal sector, lack of documentation, cash transactions, non-compliance attitude of the people, absence of tax culture, political will, illiteracy and lack of awareness, cumbersome tax procedure, lack of access to potential taxpayers, especially in remote areas.
It is yet to be seen whether the updated "NEXUS" would play any key role in broadening the tax base or not.