ISLAMABAD: The government has introduced a series of new provisions to expand sales tax registration and tighten compliance through penalties, including arrests, to curb tax evasion and bridge the country’s sales tax gap.

The new sections introduced through the Finance Bill 2025-26 cover registration, improve compliance and facilitate the transition from traditional to digital transactions to document sales.

Under the proposed amendments, the commissioner is empowered to order banking companies, scheduled banks, and financial institutions to freeze the accounts of non-registered individuals through a formal directive overriding existing laws. This measure........

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