FBR initiates Rs25 billion tax recovery from Mobilink

FBR initiates Rs25 billion tax recovery from Mobilink

ISLAMABAD: Federal Board of Revenue (FBR) on Wednesday initiated tax recovery of Rs25 billion from M/s. Pakistan Mobile Communication Limited (PMCL), including sealing of business premises.

PMCL is a mobile operator in Pakistan operating with trade name of Mobilink.

Large Taxpayers Office (LTO) Islamabad, one of the major revenue collecting units of the FBR, took the action against the mobile operator as income tax amount Rs25.39 billion was outstanding against the defaulter. “The defaulter is refraining itself deliberately, dishonestly and without lawful excuse to discharge tax liability and thus causing huge loss to the national exchequer,” according to a notice of LTO Islamabad.

The tax office had given deadline till 1300 hours on October 28, 2020 to pay the outstanding amount.

The tax office had initiated the recovery proceedings for the said amount by one or more of the following modes, namely:

— Attachment and sale of moveable or immovable property;

— Appointment of receiver for the management of your moveable or immovable property;

— Arrest and detention in person for a period not exceeding six months.

— As specified under clasue (a), (ca) and (d) of sub-section (I) of section 48 of the Sales Tax Act, 1990.

The FBR notice said that an amount of Rs22.03 billion was outstanding against the mobile operator related to tax year 2018. Further an amount of default surcharge of Rs3.36 billion to total outstanding amount.

While responding to the report, the PMCL issued the following statement:

“Jazz is a law-abiding and responsible corporate citizen. Our contribution to Pakistan’s economy over the past 25 years is significant.

“We have received a notice from FBR this afternoon. Jazz has made tax submissions based on legal interpretations of the tax owed. We will review and take measures under our legal obligations and will collaborate with all concerned institutions for an early resolution of this issue.”

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