Currency experts said that dollar demand for foreign payment remained high due enhanced economic activities and rise in international commodity prices.
The import bill registered a sharp growth of 65 per cent to $18.63 billion during first quarter (July – September) of the current fiscal year as compared with $11.28 billion in the corresponding quarter of the last fiscal year.
The local currency remained under pressure since start of the current fiscal year. The local unit has lost Rs13.66 or 8.67 per cent against the dollar from Rs157.54 on June 30, 2021 to Rs171.20 to date.
ISLAMABAD: The Federal Board of Revenue (FBR) on Wednesday warned non-filers of harsh action including monetary penalty and imprisonment.
In a statement, a FBR spokesman said that the last date for filing income tax return for tax year 2021 is October 15, 2021 and it will not be further extended.
The actual last date for filing the income tax returns for tax year 2021 was September 30, 2021. However, to technical issues on the FBR portal this date was extended for 15 days. The FBR in this regard issued Circular No. 08 to extend the date of filing income tax returns.
Through the latest statement, the FBR urged the persons having taxable income or those who are required to file their returns under Income Tax Ordinance, 2001, should file their returns in remaining two days.
According to the statement the FBR’s IRIS portal was working smoothly. “Therefore, no further date will be extended beyond October 15, 2021,” the spokesman said.
The spokesman further said that after the due date the non-filers would face monetary penalty of Rs1,000 each day of default. Furthermore, the non-filers may face imprisonment for two years.
The tax practitioners, however, are not satisfied with the performance of the FBR stating that the technical issues were not resolved so far.
“Despite repeated requests the FBR has not resolved the issues in return filing,” Zeeshan Merchant, President, Karachi Tax Bar Association (KTBA) told PkRevenue.com
Merchant said that calculation error in return form for SMEs was still a major issue.
Besides, these issues the taxpayers and tax practitioners had also faced slow speed of internet, which was caused by a fault in international cable, as income tax returns are required to file electronically.
Pakistan Telecommunication Authority (PTA) a day earlier issued a statement on the cable fault and said that it was monitoring the situation and will continue to update on it.
PTA is monitoring the situation and will continue to update on it.
“A submarine cable fault was reported yesterday near Fujairah, UAE due to which some users may have faced degradation in services. The faulty cable segment has been repaired & work is underway to make the services fully functional,” the PTA said.
238. Repeal. — The Income Tax Ordinance, 1979 (XXXI of 1979), shall stand repealed on the date this Ordinance comes into force in pursuance of sub-section (3) of section 1.
239. Savings. —(1) Subject to sub-section (2), in making any assessment in respect of any income year ending on or before the 30th day of June, 2002, the provisions of the repealed Ordinance in so far as these relate to computation of total income and tax payable thereon shall apply as if this Ordinance had not come into force.
(2) The assessment, referred to in sub-section (1), shall be made by an income tax authority which is competent under this Ordinance to make an assessment in respect of a tax year ending on any date after the 30th day of June, 2002, and in accordance with the procedure specified in section 59 or 59A or 61 or 62 or 63, as the case may be, of the repealed Ordinance.
(3) The provisions of sub-sections (1) and (2) shall apply, in like manner, to the imposition or charge of any penalty, default surcharge or any other amount, under the repealed Ordinance, as these apply to the assessment, so however that procedure for such imposition or charge shall be in accordance with the corresponding provisions of this Ordinance.
(4) Any proceeding under the repealed Ordinance pending on the commencement of this Ordinance before any income tax authority, the Appellate Tribunal or any Court by way of appeal, reference, revision or prosecution shall be continued and disposed of as if this Ordinance has not come into force.
(5) Where the period prescribed for any application, appeal, reference or revision under the repealed Ordinance had expired on or before the commencement of this Ordinance, nothing in this Ordinance shall be construed as enabling such application, appeal, reference or revision to be made under this Ordinance by reason only of the fact that a longer period is specified or provision for an extension of time in suitable cases by the appropriate authority.
(6) Any proceeding for prosecution in respect of an assessment for an income year ending on or before the 30th day of June 2002 shall be taken and continued as if this Ordinance has not come into force.
(7) Any income tax, super tax, surcharge, penalty, default surcharge, or other amount payable under the repealed Ordinance may be recovered under this
Ordinance, but without prejudice to any action already taken for the recovery of the amount under the repealed Ordinance.
(8) Any election or declaration made or option exercised by any person under any provision of the repealed Ordinance and in force immediately before the commencement of this Ordinance shall be treated as an election or declaration made, or option exercised under the corresponding provisions, if any, of this Ordinance.
(9) Anything done or action taken under the repealed Ordinance in so far as it is not inconsistent with the provisions of this Ordinance shall, without prejudice to anything already done or any action already taken, be treated as having been done or taken under this Ordinance.
(10) Any agreement entered into, appointment made, approval given, recognition granted, direction, instruction, notification, notice, order or rule issued or made under any provision of the repealed Ordinance and in force or valid at the commencement of this Ordinance shall, so far as it is not inconsistent with the corresponding provision of this Ordinance or any agreement, appointment entered into, approval given, recognition granted, direction, instruction, notification, notice, order or rule issued or made under this Ordinance, be treated as entered into, made, given, granted or issued, as the case may be, under that corresponding provision and shall unless revoked, cancelled or repealed by, or under, this Ordinance, continue in force accordingly.
(11) Any appointment, act of authority or other thing made or done by any authority or person and subsisting or in force at the commencement of this Ordinance which would have been made or done under any substantially corresponding provision of this Ordinance by any authority or person other than the one specified in the repealed Ordinance, or in any manner other than as specified in the repealed Ordinance shall continue in force and have effect as if it has been made or done under the corresponding provision of this Ordinance by the authority or person, or in the manner specified in the corresponding provision as if such provision had been in force when it was made or done.
(12) Any notification issued under section 50 of the repealed Ordinance and in force on the commencement of this Ordinance shall continue to remain in
force, unless amended, modified, cancelled or repealed by, or under, this Ordinance.
(13) The authority which issued any notification, notice, direction or instruction, or made any rule, agreement or appointment, or granted any approval or recognition, referred to in sub-sections (10) and (12), shall have the power to amend, modify, cancel or repeal any such notification, notice, direction, instruction, rule, agreement, appointment, approval or recognition.
(14) Any yield from National Saving Schemes of Directorate of National Savings where investment was made on or before 30th June, 2001 and any income derived from Mahana Amdani Account where monthly instalment does not exceed one thousand rupees shall continue to remain exempt and any person paying such yield or income shall not deduct tax under section 151 therefrom and the recipient of such yield or income shall not be required to produce an exemption certificate under section 159 in support of the said exemption.
(15) Section 107AA of the repealed Ordinance shall continue to apply until the 30th day of June, 2002.
(16) The Income Tax Rules made under the repealed Ordinance, on the valuation of perquisites shall continue to apply in respect of any income year ending on or before the 30th day of June 2002.
(17) Item 8(5)(h) of the Third Schedule to the repealed Ordinance shall continue to apply to assets covered by the item.
239A. Transition to Federal Board of Revenue.—Any reference to the Central Board of Revenue, wherever occurring, in this Ordinance and the rules made thereunder and Notifications, Orders, or any other instrument issued thereunder shall be construed as a reference to the Federal Board of Revenue on the commencement of the Federal Board of Revenue Act, 2007.
239B. Reference to authorities.— (1) Any reference to the Regional Commissioner of Income Tax, Commissioner of Income Tax, Commissioner of Income Tax (Appeals) and Taxation Officer, wherever occurring, in this Ordinance and the rules made thereunder and in any other law in force at the time of promulgation of this Ordinance and notifications, orders, circulars or clarifications or any instrument issued thereunder shall be construed as reference to the Chief Commissioner Inland Revenue, Commissioner Inland Revenue, Commissioner Inland Revenue (Appeals) and officer of Inland Revenue, respectively.
240. Removal of difficulties.—(1) Subject to sub-section (2), if any difficulty arises in giving effect to any of the provisions of this Ordinance, the Federal Government may, by notification in the official Gazette, make such order, not inconsistent with the provisions of this Ordinance, as may appear to it to be necessary for the purpose of removing the difficulty.
241. Validation.—(1) All notifications and orders issued and notified, in exercise of the powers conferred upon the Federal Government, before the commencement of Finance Act, 2017 shall be deemed to have been validly issued and notified in exercise of those powers.
(2) Notwithstanding any omission, irregularity or deficiency in the establishment, or conferment of powers and functions, of the Directorate-General (Intelligence and Investigation), Inland Revenue and authorities specified in section 230, all orders passed, notices issued and actions taken in exercise or purported exercise of the powers and functions of the Commissioner under this Ordinance by the Directorate-General (Intelligence and Investigation), Inland Revenue or the authorities specified in section 230 shall be deemed to have been validly passed, issued and taken under this Ordinance.
242. Benefits of repealed provisions.— The existing beneficiaries of exemptions or concessionary provisions of the Ordinance, already expired or expiring, on thirtieth day of June, 2021 or repealed by Tax Laws (Second Amendment) Ordinance, 2021 shall continue to enjoy benefits of the repealed provisions for the periods prescribed therein and subject to conditions and limitations specified therein.
(Disclaimer: The text of the above section is only for information. Team PkRevenue.com makes all efforts to provide the correct version of the text. However, the team PkRevenue.com is not responsible for any error or omission.)
Karachi, October 13, 2021 – The State Bank of Pakistan (SBP) has released the latest exchange rates for various foreign currencies against the Pakistani Rupee (PKR) on Wednesday, October 13, 2021.
KARACHI: Following are the exchange rates of foreign currencies in Pak Rupee (PKR) on October 13, 2021 (The rates are updated at 10:30 AM):
Currency
Buying
Selling
Australian Dollar
123.50
125.00
Bahrain Dinar
386.75
388.50
Canadian Dollar
135.50
137.50
China Yuan
23.75
23.90
Danish Krone
23.45
23.75
Euro
196.00
198.00
Hong Kong Dollar
16.65
16.90
Indian Rupee
2.03
2.10
Japanese Yen
1.41
1.44
Kuwaiti Dinar
481.60
484.10
Malaysian Ringgit
36.45
36.80
New Zealand Dollar
96.35
97.05
Norwegians Krone
17.50
17.75
Omani Riyal
392.70
394.70
Qatari Riyal
39.80
40.40
Saudi Riyal
45.25
45.75
Singapore Dollar
123.50
125.00
Swedish Korona
18.30
18.55
Swiss Franc
159.80
160.70
Thai Bhat
4.80
4.90
U.A.E Dirham
46.50
47.10
UK Pound Sterling
232.00
234.50
US Dollar
170.80
172.80
Disclaimer: Team PKRevenue.com provides the available rates of the open market, which are subject to change every hour. Team PKRevenue.com provides the available exchange rates at the time of posting the story. So the team is not responsible for any inaccuracy of the data.
ISLAMABAD: The Federal Board of Revenue (FBR) on Tuesday directed tax officials to ensure all formalities while initiating action against taxpayers to avoid “hazards of litigation.”
In an official note issued to all field offices, the FBR outlined measures for tax officials to avoid unnecessary litigation.
A day earlier the FBR issued an official note to the field offices of Inland Revenue (IR) regarding restoration of powers to IR officers related to freezing of bank accounts.
The FBR withdraw the instructions given to the commissioners IR for taking prior approval for attachment of bank accounts of a taxpayer for recovery of arrears. These instructions were issued by the then FBR chairman Shabbar Zaidi while assuming the charge on May 10, 2019.
The latest official note has clearly mentioned that the official should take care in taking coercive action, especially freezing of bank accounts.
The tax officials have been informed that on litigation the FBR had to spent remuneration and man-hours on preparing appeals and defending cases before various appellate fora.
“It is, therefore, essential to avoid entering into protracted litigation by exercising prudence and ascertaining the potential of a case to pass the test of appeal, so as not to divert resources from other potential cases involving substantial revenue.”
The FBR said that in order to forestall potential litigation by taxpayers on procedural lacuna, it is also important to ensure that no procedural lacuna is left during proceedings of the case.
“It has been observed that in certain cases, officers tend to initiate recovery proceedings without giving statutorily available time of 30 days to the taxpayer by resorting to attachment of bank accounts,” the FBR said, adding that subsequently, taxpayer being aggrieved of recovery proceedings before expiry of grace period, obtain stay orders from higher courts resulting in ‘vicious circle’ of litigation at multiple fora.
Therefore, the situation warrants that prudence is exercised both in terms of identifying the cases and deciding if a case has to be pursued at higher legal fora and to what level.
The FBR advised that in order to avoid unnecessary ‘hazards of litigation’ the tax offices should take following measures:
i. Coercive measures until case has been passed the test of appeal at the level of commissioner IR (Appeals) my be avoided. Moreover, in order to utilized collective wisdom, a committee comprising of senior commissioners IR headed by chief commissioner IR may be constituted at formation level to deliberate on the cases before according approval for coercive measures.
ii. While proposing filing of references and civil appeals, the zonal commissioner are expected to exercise their good-judgment and:
(a) propose filing of reference and civil appeals in those cases where substantial revenue or a question of law critical to maintaining the essence of the fiscal statutes and the tax machinery is involved; and
(b) enter into litigation in other cases only after due consideration of the probability of success and cost involved.
