FBR urged to prescribe time limit for audit conclusion

FBR urged to prescribe time limit for audit conclusion

KARACHI: Federal Board of Revenue (FBR) has been urged to prescribe time limit for concluding audit proceeding in sales tax cases.

In a pre-budget 2021/2022 seminar organized by Karachi Tax Bar Association (KTBA) the issue of time limit for concluding sales tax audit was discussed.

It is highlighted that:

— No time limit has been prescribed under any sales tax law to conclude Audit proceedings

— Audit proceedings are unnecessarily delayed for years and registered persons are required to submit records multiple times

— Inefficiency on part of department whereas increased compliance cost for the registered persons

— Apex Court of the country has concurred that one year is reasonable time to complete and audit proceedings

Therefore, it is recommended that time limit of one year may be prescribed for to conclude audit proceeding in line with the directions of Honorable Supreme Court of Pakistan.

Leave a Reply

You have to agree to the comment policy.