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222. Appointment of expert. — The Commissioner may appoint any expert as the Commissioner considers necessary for the purposes of this Ordinance, including for the purposes of audit or valuation.
222A. Fee and service charges.- (1) The Board with the approval of Federal Minister-in-charge may, be notification in the official Gazette, and subject to such conditions, limitations or restrictions as it may deem fit to impose, levy fee and services charges for valuation or in respect of any other service or control mechanism provided by any formation under the control of the Board, including ventures of public-private partnership at such rates as may be specified in the notification.
(2) The Board may authorize and prescribe the manner in which fee and service charges collected including by ventures of public-private partnership under this section are expended.
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221. Rectification of mistakes.— (1) The Commissioner, the Commissioner (Appeals) or the Appellate Tribunal may, by an order in writing, amend any order passed by him to rectify any mistake apparent from the record on his or its own motion or any mistake brought to his or its notice by a taxpayer or, in the case of the Commissioner (Appeals) or the Appellate Tribunal, the Commissioner.
(1A) The Commissioner may, by an order in writing, amend any order passed under the repealed Ordinance by the Deputy Commissioner, or an Income Tax Panel, as defined in section 2 of the repealed Ordinance to rectify any mistake apparent from the record on his own motion or any mistake brought to his notice by a taxpayer and the provisions of sub-section (2), sub-section (3) and sub-section (4) shall apply in like manner as these apply to an order under sub-section (1).
(2) No order under sub-section (1) which has the effect of increasing an assessment, reducing a refund or otherwise applying adversely to the taxpayer shall be made unless the taxpayer has been given a reasonable opportunity of being heard.
(3) Where a mistake apparent on the record is brought to the notice of the Commissioner or Commissioner (Appeals), as the case may be, and no order has been made under sub-section (1) before the expiration of the financial year next following the date on which the mistake was brought to their notice, the mistake shall be treated as rectified and all the provisions of this Ordinance shall have effect accordingly.
(4) No order under sub-section (1) may be made after five years from the date of the order sought to be rectified.
(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.)
Section 220 of the Income Tax Ordinance, 2001, explicitly states that the Commissioner is obligated to provide a receipt for any tax or amount paid under this ordinance.
Section 219 of Income Tax Ordinance, 2001 now dictates that the amount of tax or refund should be computed to the nearest rupee, with fractions less than fifty paisa disregarded and those equal to or exceeding fifty paisa treated as one rupee.
KARACHI: The Federal Board of Revenue (FBR) will not take any action directly against non-filers or under-filers, Finance Minister Shaukat Tarin assured the members of Karachi Chamber of Commerce and Industry (KCCI).
A statement issued by the KCCI stated that Finance Minister Shaukat Tarin had assured to review the matter of filers and non-filers and look into the possibility of re-examining the term ‘non-filer’ and ‘under-filer’ in consultation with stakeholders whereas in the meantime, “no one will suffer as FBR will not take the action directly.”
FBR will share relevant data with Chambers and also upload the same on its website.
The government intends to take help of artificial intelligence and assessment will be done through third party while appropriate time of 90 days will be provided to non-taxpayers for settlement, the Finance Minister added while speaking at a meeting with a delegation KCCI.
Federal Minister for Energy Hammad Azhar, Advisor to PM on Commerce Abdul Razak Dawood, Chairman Federal Board of Revenue Ashfaq Ahmed and other senior officials of Finance Ministry and FBR also accompanied Shaukat Tarin at the meeting while KCCI’s delegation, which was led by Chairman Businessmen Group & Former President KCCI Zubair Motiwala, comprised of Vice Chairmen BMG Haroon Farooki & Jawed Bilwani, General Secretary BMG AQ Khalil and President KCCI Muhammad Idrees.
Referring to Chairman BMG’s remarks about discrimination with export-oriented industries of Sindh with regards to supply of RLNG at $6.5 per MMBTU, Energy Minister Hammad Azhar agreed to supply RLNG at $6.5 per MMBTU to export-oriented industries of Sindh. In this regard, the Ministry of Finance will sanction subsidy and relevant notification will also be issued.
Hammad Azhar stated that the Ministry of Energy will also convene a meeting to discuss KCCI’s concerns over gas crises in winter season so that they could explore ways and means for smooth supply of gas to industries/ consumers of SSGCL in winter season. MD SSGC will also be advised to hold a meeting with KCCI in this regard, he added.
On the occasion, PM’s Advisor Abdul Razak Dawood said that they were considering waiver of duty on import of cotton yarn. It was also concurred that KCCI’s proposal to reduce concessional rate of 0.1 percent to 0.01 percent on Traders/ brokers of Cotton Yarn under SRO.333 (I) 2001 dated 02.05.2011 has been taken into consideration in the larger interest of value-added exports.
Razak Dawood, while appreciating KCCI’s idea of giving Industry status to “Warehousing / Cold Chain / Cold Storage”, said that the government will look into this matter.
He reiterated that Drawback on Local Taxes & Levies (DLTL) will either continue with same rate or the government may increase the rate of drawback whereas the old income tax claims will also be refunded at the earliest.
Speaking on the occasion, Chairman Federal Board of Revenue (FBR) Dr Ashfaq Ahmed assured that the Government will review the matter pertaining to CNIC requirement and 3 percent tax which KCCI believes should not be mandatory but optional as 3 percent tax on sales to unregistered persons was already being collected hence there was no need for demanding CNIC. He also promised to hold a meeting within next week via zoom facility to discuss the progress on various taxation issues.
In response to problems being faced because of the condition to put invoice and packing list inside imported container or consignment, the lawmakers assured to review KCCI’s proposal that the bank should only receive document when invoice and packing list is attached with the documents and consignment should be released with the provision of invoice and packing list from Customs.
It was also assured that the government will also look into KCCI’s proposals to amend provision under S. No.4 in which a new section 114B has been inserted in Income Tax Ordinance 2001, providing discretionary powers to FBR to issue General Orders to disable mobile phones/SIMS, disconnect electricity and gas connection etc. to enforce filing of returns by the persons not appearing on the ATL. The Karachi Chamber, in this regard, has proposed the provision may be amended to substitute the words “Persons not appearing on ATL” with “Unregistered Persons” to achieve the purpose of broadening of tax-base.
KCCI delegation, while conveying gratitude to Finance Minister for fulfilling his commitment of holding today’s meeting in Islamabad along with Hammad Azhar, Razak Dawood and others, expressed confidence over the stewardship and seriousness being exhibited by Shaukat Tarin towards resolving the problems being suffered by the business and industrial community.
Finance Minister, in his concluding remarks, said that he will keep on visiting KCCI after every three months while Chairman FBR will also be visiting the Chamber on a monthly basis.
Finance Minister Shaukat Tarin has said that the prime objective of the government to take the tax-to-GDP ratio to 20 per cent in coming years which currently stood at 8-12 per cent.
ISLAMABAD: Federal Board of Revenue (FBR) on Friday imposed service charges on invoices issued through Point of Sales (POS) that are integrated with the FBR system.
Section 218 of Income Tax Ordinance, 2001 describes service of notices and other documents. The Federal Board of Revenue (FBR) issued the Income Tax Ordinance, 2001 updated up to June 30, 2021.
The Federal Board of Revenue (FBR) has detailed the authentication procedures for forms, notices, and other documents as per Section 217 of the Income Tax Ordinance, 2001.
According to provisional figures released by the FBR on Thursday, it collected net revenue of Rs. 1.395 trillion during the first quarter of the current fiscal year against the target of Rs. 1.211 trillion, exceeding by Rs186 billion.
The FBR posted a growth of around 39 per cent in net collection for the quarter as the revenue body collected Rs1.004 trillion in the same quarter of the last fiscal year.
The net collection for the month of September, 2021 realized Rs535 billion representing an increase of 31.2 per cent over Rs. 408 billion collected in September 2020. These figures would further improve before the close of the day and after book adjustments have been taken in to account.
On the other hand, the gross collections increased from Rs. 1.059 trillion during July-September, 2020 to Rs1.454 trillion in the corresponding quarter of the current fiscal year, showing an increase of 37.3 per cent.
The amount of refunds disbursed was Rs59 billion during July-September, 2021 compared to Rs49 billion paid in the same quarter of the last year, reflecting an increase of 20.2 per cent.
This is reflective of FBR’s resolve to fast-track refunds to prevent liquidity shortages in the industry, according to a statement issued by the FBR.
It is pertinent to mention that after collecting over 4.7 trillion and exceeding its assigned revenue targets set for tax year 2020-2021, the FBR has successfully maintained the momentum set in July, 2021. Its tax collection posted historic high growth in first quarter of current fiscal year.
During first quarter, FBR has far surpassed its revenue target by Rs186 billion. This spectacular performance at the outset of the year shows that FBR is well on its way to achieving the assigned target of Rs. 5.829 trillion for the year despite the daunting challenges, compelling constraints posed by the corona pandemic, and sporadic tax cuts announced by the government as relief and price stabilization measures.
