In Pakistan, diamond sets and a drone light show at a nearly million-dollar wedding have caught the attention of the tax authorities. The newly established “Lifestyle Monitoring Cell” is scrutinizing social media for signs of lavish spending, officials revealed.
This week, a team of 40 investigators from the Federal Board of Revenue (FBR) began analyzing posts on Instagram, TikTok, and YouTube. Their aim is to identify influencers, celebrities, realtors, and business figures whose lifestyle doesn’t align with their tax filings.
“Instagram accounts are public records,” a senior FBR official stated, noting that tax evasion cases can be initiated swiftly. FBR did not comment when contacted by Reuters.
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The monitoring unit was created to tackle Pakistan’s persistent failure to meet revenue targets and to fulfill the stringent goals of this year’s IMF-backed budget.
Pakistan has one of the lowest tax-to-GDP ratios in Asia, a persistent issue leading to nearly two dozen IMF programs. Fewer than 2% of citizens pay income tax.
As per an internal document reviewed by Reuters, the unit was officially established this month. Its goal is to “systematically monitor, scour, and analyze data from major social media platforms” to identify individuals who show wealth but are not tax-registered or report income that doesn’t match their spending and assets.
The document outlines that the cell will create digital profiles of suspects, evaluate the finances behind their lifestyles, and compile reports for tax or money laundering probes.
A central evidence database, including screenshots and timestamps, will be maintained, the document states.
Luxuries and Lavishness: Weddings Under Scrutiny
Officials highlighted a wedding under investigation that cost nearly 248 million rupees ($878,000).
Documents viewed by Reuters revealed expenditures of approximately $283,000 on diamond and gold sets and $124,000 on bridal attire by top South Asian designers.
Guests entered through floral arches as drones illuminated the sky, enjoying multi-course meals designed for 400 attendees.
The event featured leading makeup artists, DJs, and traditional qawwali bands, with international consultants orchestrating the six-day celebration, which officials said exemplifies the extravagant spending they’re targeting.
This wedding is one of several cases under review, officials noted. Investigators are also analyzing videos of luxury cars, upscale properties, and influencers showcasing opulent lifestyles.
“People tag event managers, caterers, jewelers, etc., making our job simpler,” another official commented, pointing out the families’ expenditure didn’t match their income declarations.
Though newly formed, the unit has already flagged multiple files for detailed investigation, officials reported.
Previous attempts to capture high earners faltered, but officials believe social media offers robust leads and faster ways to uncover undeclared wealth.
