The Federal Board of Revenue’s Lifestyle Monitoring Cell has identified suspected tax evasion involving a prominent film and television actress based in Lahore, citing undeclared spending that appears inconsistent with her reported income, Business Recorder reported.
The FBR has not disclosed the identity of the actress, noting that the matter is at a preliminary stage and subject to due process under the law.
As per preliminary findings, the actress is suspected of having spent about Rs67.7 million on her wedding earlier this year, an amount that was not reflected in her tax returns or wealth statements. Officials said the findings were based on a review of the taxpayer’s declared income, lifestyle indicators and open-source material, including publicly available social media content documenting wedding-related expenses such as venues, catering, attire, jewellery and production arrangements. None of these outlays, the FBR said, were disclosed in her filings.
The Lifestyle Monitoring Cell reported a significant mismatch between the actress’s declared income and observed expenditures, including frequent foreign travel and new business activities. It noted that she has been registered with the FBR for around nine years, but her tax declarations did not suggest the capacity to finance such high-value personal spending.
Based on these observations, the Cell has proposed a comprehensive audit covering tax years 2020 to 2025 under the Income Tax Ordinance, 2001. The proposed audit would examine income sources, bank accounts, credit card usage and expenditure patterns to identify any undeclared revenue streams, including earnings from endorsements, social media activity or other commercial ventures.
The FBR has also recommended issuing a notice under Section 111 of the Ordinance, which deals with unexplained income or assets, requiring the taxpayer to explain the source of funds used for the wedding and other high-value expenses. If the explanation is found unsatisfactory, the amounts could be treated as concealed income and added to her taxable income.
