Tag: FBR

Islamabad, September 23, 2020 (PPI-OT): Federal Board of Revenue (FBR) has issued directions to all its Field Formations to resolve all the pending pension cases of employees. In the month of August, twenty pending pension cases of employees of RTO Sargodha have been indicated.

Majority of these pension cases are pending with District Accounts office. FBR has issued directions to Regional Tax Office, Sargodha to coordinate with the District Accounts Office for payment of pensionary benefits to the retired employees in case of delay beyond one month after retirement and complete the pending cases being processed in RTO by 30th September, 2020.

Similarly, FBR (HQ) has also directed RTO, Islamabad to coordinate with AGPR and resolve the pending pension cases of all employees retired from January to June, 2020. Moreover, RTO Islamabad has been directed to coordinate with the AGPR for payment of pensionary benefits to the retired employees.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 23, 2020 (PPI-OT): In compliance with the vision of the Prime Minister for provision of best facilities to the taxpayers and to implement the directions of Advisor to PM on Finance and Revenue Dr. Abdul Hafeez Shaikh, FBR has achieved another milestone in improving service delivery standards by launching Urdu versions of Income Tax Return for salaried individuals (wizard view), simplified single page Tax Return for small retailers and wealth statement.

Urdu versions of the returns are available on Iris web portal. In its efforts to improve tax systems and taxpayer facilitation standards, FBR will soon be launching Urdu versions of other online Wizard based returns and mobile Tax Asaan app.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 23, 2020 (PPI-OT): The Federal Board of Revenue has extended the utilization period of input goods under export facilitation schemes up to 28th February, 2021 for all three schemes that are Manufacturing Bond, Export Oriented Units and Export Processing Zones. This measure shall ensure that the feared losses of these exporters due to Covid-19 Pandemic wherein orders were either cancelled or delayed shall be addressed.

Pakistan Customs (FBR) is committed to achieve the vision of Prime Minister for exporter’s facilitation and addressing their genuine hardships on a proactive basis at their doorsteps. Such steps shall boost exports and will result in trade facilitation by ensuring competitiveness of our exported goods in international markets.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 23, 2020 (PPI-OT): In a major breakthrough, the Directorate of Intelligence and Investigation Inland Revenue, Faisalabad has arrested yesterday Muhammad Yousaf, proprietor of M/s SAYTEX INTERNATIONAL, one of the major culprits running the racket of fake and flying invoices, causing huge loss of revenue to the national Exchequer. The Directorate had unearthed a big sales tax evasion scam of issuing/adjusting fake and flying invoices involving tax fraud of millions of rupees. Accordingly, prosecution proceedings against the members of the fraudsters’ gang were initiated and the First Information Report (FIR) was lodged against M/s Arrow International, its buyers, suppliers and other beneficiaries under section 37(a) of the Sales Tax Act 1990.

The person arrested had issued fake invoices worth 104.446 million to M/s Arrow International and thus defrauded payment of due taxes thereon. Mr. Imran Zafar, I.O/Deputy Director, who arrested the accused has obtained physical remand of the accused from the learned Special Judge (Customs, Taxation and Anti-Smuggling), Lahore. The accused is currently under further investigation.

It is pertinent to mention here that two other members of the fraudsters’ network, namely, Arshad Mehdi and Muhammad Danish Javed were also arrested few days earlier. Arshad Mehdi is the declared proprietor of dummy unit, M/s Arrow International, in whose name 05 bank accounts were opened in Faisalabad and Lahore through which transactions of Rs.288 million had been effected. Arshad Mehdi is currently in jail serving judicial remand.

The other person Muhammad Danish Javed, has been found to have deposited money in the bank accounts of dummy unit M/s Arrow International against whom an FIR has already been lodged for evasion of tax amounting to Rs.134.4 million. The said person is also in jail under judicial remand. Investigation from these arrested persons subsequently led the Intelligence and Investigation Directorate to identification of real culprits behind establishment and running of this network of tax fraudsters involving 65 units and total invoice value amounts to Rs.1.3 billion.

The arrest of Muhammad Yousaf, proprietor M/s Saytex International, Faisalabad is in continuation of Inland Revenue Intelligence’s tirade against tax fraudsters and networks of dubiously registered firms involved in fake and flying invoices. So far the Faisalabad Directorate has arrested 06 persons leading to recovery of defrauded amount of tax at Rs.6 million. Another 13 registered persons nominated in the FIR have voluntarily deposited their tax liability totalling Rs.2.2 million. Further investigations into the scam are underway and further arrests and recoveries are expected.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 18, 2020 (PPI-OT): Ceremony for Parametric computer balloting as per the Audit Policy, 2019 for selection of cases for audit for Tax Year 2018 in respect of persons or classes of persons falling under all or any of the three domestic Federal Tax Statutes i.e. Income Tax Ordinance 2001, Sales Tax Act 1990, and Federal Excise Act 2005 was held at Federal Board of Revenue, Headquarter, Islamabad.

On this occasion, Advisor to the Prime Minister on Finance and Revenue, Dr. Abdul Hafeez Shaikh, representatives of Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Institute of Chartered Accountants of Pakistan (ICAP), Pakistan Tax Bar Association (PTBA), Islamabad Chamber of Commerce and Industry, Islamabad Women Chamber of Commerce and Industry, Rawalpindi Chamber of Commerce and Industry, All Pakistan Tax Advisors Association and FBR’s Officers were present.

The criteria for selection of cases (for all taxes) for Tax Year 2018 is risk based and parametric. Cases have been selected on scientific approach for which a software has been designed and put in place named as “Risk Based Audit Management System” (RAMS). This software empowers Federal Board of Revenue to focus on non-compliant taxpayers and thus facilitate compliant taxpayers helping build confidence of taxpayers in the Audit system.

Chairman FBR Muhammad Javed Ghani said that FBR is working on the principles of transparency, simplicity and predictability and informed that certain categories of the taxpayers are excluded from selection i.e. those picked up for investigations by FBR Intelligence and Investigations Wing, all cases where income chargeable to tax under the head salary and /or pension exceeds 50% of taxable income, except cases having business income.

Directors of companies do not qualify for this exclusion. All cases where entire income is covered under Final Tax Regime (FTR), all cases where declaration has been made under the Voluntary Declaration of Domestic Assets Act, 2018, all cases where declaration has been made under the Asset Declaration Ordinance, 2019 and Federal, Provincial and Local Government Departments, have also been excluded.

The Advisor to the Prime Minister on Finance and Revenue, Dr. Abdul Hafeez Shaikh in his address to the participants of ceremony said that the selection of audit cases would be computerized and on risk basis. The advisor also explain that minimum number of cases are being selected for audit by focusing on only high-risk Income tax, Sales tax and FED cases so that audit cases should be completed appropriately and within time. This will also help in reducing the complaints of taxpayers about harassment and corruption. In addition to this, the exclusions in Audit Policy will minimize the undue hardships faced by taxpayers.

Dr. Abdul Hafeez Shaikh also hoped that FBR will continue to improve its standards by providing services to both the government departments and the taxpayers. Against this backdrop, FBR has published Annual Tax Directories 2018 which contains the tax details of common taxpayers and members of the Senate of Pakistan, National as well as Provincial Assemblies so that people of Pakistan can access information.

He further added that this time no new tax has been imposed under current Budget to provide relief. The Advisor assured the business community of his full support and expressed hope that the future is more promising for Pakistan’s Business sector. For this, government has also provided subsidies to Export Sector. FBR has taken initiative to sanction more sales Tax refunds this year than in previous year.

For this, FBR has introduced the online FASTER system so that refund claims are processed without involvement of tax officials. In order to further build up the taxpayers confidence, two committees are constituted for redressal of complaints against FBR comprising of Business Committee including representatives of FBR and Business individuals and Technical Committee for complaints about refund matters that would also include representatives from private sector.

In order to carry out parametric computer balloting, Mr. Abdul Hafeez Sheikh, Advisor to the Prime Minister on Finance and Revenue, initiated the ballot process by pressing the computer button for Income Tax Cases, Muhammad Javed Ghani Chairman FBR pressed button for Sales Tax and Mr. Aftab Hussain Nagra, President Pakistan Tax Bar Association pressed the button for Federal Excise Duty, Resultantly, the cases were selected for audit for Tax Year 2018. The number of cases selected for audit in a totally transparent manner in respect of different categories are detailed as under:

i. Income Tax (Corporate/Non-Corporate) – 10,441

ii. Sales Tax (Corporate/Non-Corporate) – 2,065

iii. Federal Excise Duty(Corporate/Non-Corporate)- 27

Total – 12,553

Keeping in view the facilitation of taxpayers, this year lesser number of cases have been picked up when compared with previous years. National Tax Numbers/ CNIC’s of cases selected for audit have been displayed on the official website of FBR. The Audit Policy, 2019 pertaining to Tax Year 2018 has also been placed on the website of FBR which can be accessed at https://www.fbr.gov.pk/taxpayers-audit/131228.

Moreover, Mrs. Farida Rashid, President, Islamabad Women Chamber of Commerce and Industry and Mian Abdul Ghaffar, President, All Pakistan Tax Advisors Association pressed the button to launch the Tax Directory 2018 for Parliamentarians and Mr. Saboor Malik, President, Rawalpindi Chamber of Commerce and Industry and Mr. Khalillulah Shaikh, President, Institute of Chartered Accountants of Pakistan (ICAP), pressed the button to launch the Tax Directory 2018 for information of general public which can be accessed at https://www.fbr.gov.pk/tax-directory-for-tax-year-2018/152468.

On this occasion, Mirza Abdul Rehman, Chief Coordinator, Federation of Pakistan Chambers of Commerce and Industry (FPCCI) expressed his pleasure that their demands are fulfilled for launching of Risk based Audit Management System (RAMS) and payment of long outstanding refunds of business community.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 17, 2020 (PPI-OT): As a part of the ongoing crackdown against illicit cigarette trade in light of the directions of the Director General Dr. Bashirullah Khan, the Directorate of Intelligence and Investigation-IR, Lahore raided / searched different premises situated at District Sheikhupura. During the raid / search, three hundred cartons of non-duty paid locally manufactured cigarettes of different brands namely Kisan, Classic, OK, Hitler etc. manufactured/produced by the different manufacturers were found and accordingly seized under the relevant provision of Federal Excise Act, 2005.

The Directorate of the I and I-IR Lahore has intensified operation against businesses dealing in non-duty paid locally manufactured and counterfeit cigarettes as well as un-registered persons making taxable supplies operating without being registered under the Sales Tax Act, 1990 and Federal Excise Act, 2005 thus causing huge revenue loss to the national exchequer.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/

Islamabad, September 17, 2020 (PPI-OT): As per Prime Minister’s vision to enhance facilitation to business community in the country and to comply with the directions of Advisor to PM on Finance and Revenue Abdul Hafeez Shaikh to make all possible efforts to re-vitalize industry and trade in the post Covid scenario and to minimize bottlenecks and difficulties’ relating to taxation issues, as another milestone, FBR has constituted two committees namely Technical Committee and Complaint Oversight Committee comprising of senior officers from Federal Board of Revenue and business community with the purpose to identify and remove the technical and complaint issues of businessmen.

The Notification of constitution of committees has been issued. The Technical Committee will comprise of eleven members. Abid Shaban has been made the Chairman of the Committee. The other members include Khurram Mukhtar, Ejaz A. Khokhar, Khurram Tariq, Javed Balwani, Ali Jameel, Zakria Usman, Abdul Rashid Jan Muhammad, Aman Ghanchi and Member Customs Policy/Customs Operations. Member IR Policy will also be the Secretary of the Committee.

Terms of References of Technical Committee include the Identification of distortions, anomalies and inequalities in the taxation system which cause difficulties for taxpayers, or which discourage investment, industrialization and documentation, and propose solutions. The Committee will propose measures to reduce the dependence on withholding taxes, minimum tax, advance tax, etc. The Committee will also propose measures for simplification of all taxation procedures, in a manner which does not compromise revenue collection and documentation.

Further, Proposals for improvements in the temporary importation and manufacturing bond schemes in order to enhance their scope and facilitate direct and indirect exporters throughout the value chain will also be finalized by the Committee. The Committee will identify issues hindering smooth processing of refund claims through the FASTER system. It will propose amendments in the procedures or thresholds relating to sales tax refund of various sub-sectors of exporters, and will propose remedies for issues relating to adjustment of input tax paid against services subjected to sales tax by the provinces.

Likewise, a seven member Complaint Oversight Committee has also been constituted under the chairmanship of Musaddaq Zulqarnain. The other members of the Committee included Saqib Sherazi, Azam Farooq, Kamran Arshad, Imran Hussain and Faisal Said. Chief Integrity and Performance Unit of FBR will act as both member and Secretary of the Committee.

The Terms of References of the Committee include maintaining the complete, holistic oversight over the complaint resolution mechanism of FBR. The Committee will review the entire life cycle of a given complaint, from lodging, its nature, action taken, resolution, post-resolution review, to further action required to be taken, if any.

For more information, contact:
Second Secretary (Public Relations)
Federal Board of Revenue (FBR)
FATE Wing, Federal Board of Revenue,
Constitution Avenue, Sector G-5,
Islamabad, Pakistan
Phone: +92-51-9217267
Fax: +92-51-9208456
Email: mujeeb.talpur@fbr.gov.pk, talpur35@gmail.com
Website: https://www.fbr.gov.pk/