Featured Businesses to follow unrealistic guidelines to escape FATF grey list

[Syed1.]

Yes, you don't realize how tough until you have income or assets in multiple countries. When I purchased a house and car(s) in the UK after I moved there in 2014. I had to show proof that the income was legitimate and already taxed in the US and France. Besides people forget Al Copone, he got 11 years maximum security for tax evasion

Don't mess with the IRS getting audited by them or their cousins across the Atlantic is indeed a traumatizing experience.

Kasam se... Same thing with CRA in Canada.


I know a Pakistani guy who thought CRA is like FBR. He was running a construction business which was doing well but in his tax returns wasn't showing much of an income so that he doesn't have to pay his taxes. CRA got a sniff of it and and started an audit. Obviously he couldn't match his life style with his declared income and massive fines were imposed I'm talking in the tune of $250,000. He cannot get a loan, mortgage or car financing till he pays off the fine. His bank accounts are now monitored and anything coming in and out is checked by CRA.


People in Pakistan don't know how bad these tax agencies can mess up your life.

 

[S.Y.A]

Spoken like a true patwari. Entire data and records? So you have something to hide. Selling crack?

Spoken like a man with dung for brain. I have nothing to hide. I ddeclare what i earn and have to fbr. Not to any lallu panju random seller. That is what i am against.

 

[ziaulislam]

if pakistan didnt prosper before and had rampant corruption why do you think it will NOT prosper under strict anti money laudnering law. laws that so many other countries have and have done well with..

pakistan will prosper when capital has somehwere to go..when you have skilled labour, ease of doing business and have utilies avaialble..not where you can lander money into real estate and call it prosperity or growth

View attachment 674771

 

[ziaulislam]

Kasam se... Same thing with CRA in Canada.


I know a Pakistani guy who thought CRA is like FBR. He was running a construction business which was doing well but in his tax returns wasn't showing much of an income so that he doesn't have to pay his taxes. CRA got a sniff of it and and started an audit. Obviously he couldn't match his life style with his declared income and massive fines were imposed I'm talking in the tune of $250,000. He cannot get a loan, mortgage or car financing till he pays off the fine. His bank accounts are now monitored and anything coming in and out is checked by CRA.


People in Pakistan don't know how bad these tax agencies can mess up your life.

they think FBR is good and that anything or any reforms is abd..

this how screwed up our society is that they dont even know what good and bad is??

i am surprised we are still here

 

[ziaulislam]

Other countries do this as well. Banks even had a yearly KYC which they send to their customers to fill out. UK banks have that, as do many banks in gulf, and Australia. Even now, crypto exchanges have started doing this as well by sending a KYC to customer.

Apparently if others countries do it, its ok. But if Pakistan does it, people have a problem. To those people that are complaining, i curse you and your family.

but but but...

 

[CriticalThought]

if pakistan didnt prosper before and had rampant corruption why do you think it will NOT prosper under strict anti money laudnering law. laws that so many other countries have and have done well with..

pakistan will prosper when capital has somehwere to go..when you have skilled labour, ease of doing business and have utilies avaialble..not where you can lander money into real estate and call it prosperity or growth

AML laws work against the free flow of capital and ease of doing business. Not only that, but the black operations of CIA are all financed through unmonitored movement of money. You can rest assured that there are either loopholes within these AML measures, or they are non-uniformly applied.

But since the point still isn't entering into ossified brains, let me give a more potent dose of reality. Pakistan is under a debt of more than hundred billion dollars today, owed either directly to IMF and World Bank, or their members. So let's have a show of hands please. Who are the morons who think that the IMF will help Pakistan get rid of all this debt, become financially strong and independent, allowing money to be spent on education, human development, and weapons research? We need a new title on the forum 'Brain dead idiot" for these people.

It is a dilemma that our people think anyone in the world will come and teach them how to become strong and powerful. The strongest reflection of this problem is seen in Imran Khan who goes to China and asks 'Please teach us how to govern". *FACE PALM* Right about now the libturd swines, the Khan sympathizers and apologists, and the perennially stoned on drugs will jump on the bandwagon of 'no shame in education', 'learn from anywhere' etc. I will only point out that this is not how you learn, and that you need to have a total lack of self-respect to descend down to this level.

We are all decrying how Nawaz Sharif and Zardari have eaten away the system from the inside out. Well, right about now, we have an IMF agent in charge of finance ministry. This man controls appointments, promotions, everything. Just like Nawaz and Zardari placed people on important places who are more loyal to them than Pakistan, this IMF agent is in the process of creating a system that is more loyal to IMF than Pakistan.

And the cheerleaders danced to cheer the impending humiliating defeat...

 

[ColonelSanders]

Spoken like a man with dung for brain. I have nothing to hide. I ddeclare what i earn and have to fbr. Not to any lallu panju random seller. That is what i am against.

So you willing to give millions to lallu panju seller?
Do you check the property before transferring your HARD EARNED money and confirm that the property actually belongs to the seller and not stolen or seller being qabza mafia? If you dont, you are an idiot. And if you do, seller has the same right to know that the money he is receiving is not stolen or obtained through corruption. Now dont quote me again.not interested in talking to patwaris

 

[nahtanbob]

Businesses to follow unrealistic guidelines to escape FATF grey list
Regulations target customers of real estate dealers, jewellers and accountants

Pakistan on Tuesday notified new unrealistically stringent regulations to monitor customers of real estate dealers and developers, jewellers and accountants aimed at fulfilling requirements of the Financial Action Task Force (FATF).

These businesses cannot do business with politically exposed persons until they are sure about the source of their income and they will also have to identify the customer and beneficial owner before conducting a transaction, according to regulations notified by the Federal Board of Revenue (FBR) on Tuesday.

The Designated Non-Financial Businesses and Professions (DNFBPs) regulations are also likely to increase the cost of doing business for real estate agents, jewellers and accountants besides bringing them under additional scrutiny.

The FBR notified the “Anti Money Laundering and Countering Financing of Terrorism Regulations for DNFBPs 2020”, three weeks before the scheduled plenary meeting of the FATF that will decide whether to remove Pakistan from its grey list or extend the enhanced scrutiny period further.

These regulations have been framed after recent amendments to the Anti-Money Laundering Act and Anti-Terrorism Act by parliament.
DNFBPs will “take reasonable measures to establish the source of wealth and the source of funds of customers and beneficial owners identified as a PEP, close associate or family member of a PEP”.

DNFBPs (real estate agents, jewellers and accountants) shall verify the identity of the customer and beneficial owner before establishing a business relationship or conducting occasional transaction, according to the regulations.

The regulations also define a politically exposed person as any individual who is or has been entrusted with a prominent public function either domestically or by a foreign country, or in an international organisation and is or has been head of state or government, senior politician, senior government official, judicial or military official, senior executive of a state-owned corporation and political party official.

Close associates and family members of the politically exposed person would also undergo additional scrutiny at the time of doing any transaction in the realty sector, buying jewellery or managing books.

DNFBPs shall implement appropriate risk management systems to determine if a customer or beneficial owner is a politically exposed person or a close associate or a family member of a politically exposed person, both prior to establishing a business relationship or conducting a transaction, and periodically throughout the course of business relationship, according to the regulations.

Real estate sector players and jewellers will also have to seek a copy of the computerised national identity card (CNIC) issued by NADRA; or Form B or smart/juvenile card issued by NADRA to children under the age of 18 years.
DNFBPs will also perform enhanced due diligence (EDD) before any business relationship and conduction transaction with individuals and companies, when risks are higher.

In order to comply with the Targeting Financial Sanctions imposed by the UNSC, real estate dealers, jewellers and accountants will develop a mechanism, processes and procedures for screening and monitoring customers and potential customers to detect any matches or potential matches with the stated designated/proscribed persons, according to the regulations.

DNFBPs will also have to take appropriate steps to identify, assess and understand their risks for customers, countries or geographic areas, and products, services, transactions or delivery channels.

They will identify and assess the money laundering and terror financing risks that may arise in the development of new products, businesses and practices, including a new delivery mechanism, and the use of new and pre-existent technology.

Record keeping
Real estate agents, jewellers and accountants will maintain record in the form of paper or electronic form or on microfilm.
The record of identification data obtained through CDD, including EDD process, copies of identification documents, application forms, verification documents and other documents along with business correspondence, and results of any analysis undertaken shall be maintained for a minimum period of five years after the business relationship is terminated, according to regulations.

“DNFBPs shall retain such record till disposal of case where transactions, customers or instruments are involved in litigation or the same are required by a court of law or other competent authority,” state the regulations.

“DNFBP shall retain such records until such time as the litigation is resolved or until the court of law or competent authority indicates that the records no longer need to be retained.”

Real estate agents, jewellers and accountants will keep a list of all such customers where the business transaction was refused or needed to be closed either on account of failure of the customer to provide the relevant documents or the original document for viewing as required, stated the regulations.
Real estate agents, jewellers and accountants will also appoint a compliance officer at the management level to implement these regulations.

Published in The Express Tribune, September 30th, 2020.

a lot of these have nothing to do meeting with FATF regulations

 

[nahtanbob]

What is so unrealistic and unreasonable about this? When I bought my house, i went through a lengthy procedure and had to provide explanation where my money came from in UK. There is nothing here that is unheard of in other countries.

there is a simple way - provide your official tax return in case you want a loan

 

[ColonelSanders]

there is a simple way - provide your official tax return in case you want a loan

In most cases that is just part of the documentation. If you are borrowing from friends and family, you have to get a consent letter from them as well that its a gift. Otherwise you have to declare them co-owner in most cases.

 

[S.Y.A]

And if you do, seller has the same right to know that the money he is receiving is not stolen or obtained through corruption. Now dont quote me again.not interested in talking to patwaris

no he doesnt. and this is a public forum I can do whatever I please, you may not be interested in talking to others, but i am very interested in talking to brain dead idiots, hence, i will continue to quote you.

 

[ColonelSanders]

no he doesnt. and this is a public forum I can do whatever I please, you may not be interested in talking to others, but i am very interested in talking to brain dead idiots, hence, i will continue to quote you.

All i can say is "what a waste of human dna"

 

[truthfollower]

Pakistani people aka Bani Israel

how pakistanis are bani israel?

 

[SQ8]

how pakistanis are bani israel?

Never happy in any progressive situation regardless of its benefits. Always clinging to how their elders did things - in case money laundering and tax evasion.