As a signatory to a multilateral convention of the Organisation for Economic Cooperation and Development (OECD), Pakistan will be eligible to officially access information about offshore financial accounts of Pakistani residents with effect from Sept 1.
Official records seen by Dawn suggest that the Federal Board of Revenue (FBR) is ready to make the process of accessing information about offshore financial accounts of Pakistani residents held in the signatory countries operational from September onwards.
Necessary amendments have already been made to the Protection of Economic Reform Act, 1992, to regulate foreign exchange movement and bring it in line with Income Tax Ordinance, 2001.
Tax authorities may inquire about source of foreign remittance on sums exceeding Rs10m
Amendments have also been made to the Income Tax Ordinance, 2001, whereby the FBR may inquire about the source of foreign remittance on sums exceeding Rs10 million. Furthermore, the previous limitation of five years to probe foreign assets and income has also been discarded.