ISLAMABAD, Aug. 21 -- Businesses could face heavy fines for failing to connect with the Federal Board of Revenue (FBR) system. The penalties were introduced under the Finance Act 2026. The law requires businesses to connect with FBR or its computerized system within the specified period. The measure aims to improve monitoring, tracking and reporting of business activities. It also covers records related to sales and production.

Under the new rules, businesses that fail to complete the required integration could face an initial fine. The maximum penalty for the first violation is Rs1 million. Authorities can impose this penalty when businesses fail to connect within the prescribed timeframe. The measure applies to businesses covered by th...