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Tag: Federal Board of Revenue

The Federal Board of Revenue is Pakistan’s apex tax agency, overseeing tax collection and policies. Pakistan Revenue is committed to providing timely updates on the Federal Board of Revenue to its readers.

  • FBR urged to extend date for filing sales tax return

    FBR urged to extend date for filing sales tax return

    LAHORE: The apex tax bar of the country on Wednesday demanded the chairman of Federal Board of Revenue (FBR) to extend the date for filing monthly sales tax return due to extended Eid holidays and prevailing restrictions due to coronavirus pandemic.

    Pakistan Tax Bar Association (PTBA) in a letter to FBR chairman Asim Ahmed highlighted the problems faced by taxpayers and tax practitioners due to extended Eid holidays and third wave of coronavirus.

    The PTBA said: “The government has announced holiday from May 08 – 15, 2021 on the eve of Eid-ul-Fitr while considering current situation of the third wave of pandemic COVID-19 in the country.”

    The government has not only announced national holidays week-long holidays but also going to be made complete lockdown in the country on the recommendations of NCOC during the aforesaid period, due to increase in the number of cases on daily basis, it added.

    In this situation the working for preparation for sales tax returns as well as deposit of sales tax liability up to May 15 (which is due date of deposit of sales tax liability under the law) is not possible for the taxpayers in general, the PTBA said and added that after re-joining the offices by the public after Eid holidays from May 17 onwards, only two days would had been left for filing of sales tax returns for the tax period April 2021.

    The PTBA informed the FBR chairman that in this situation neither the taxpayers can deposit their sales tax liability within the due date nor they can prepare and submit their sales tax returns with the date as provided under the law. “Thus, time for payment of due sales tax liability as well as submission of sales tax returns, is required to be extended for at least 10 days beyond the prescribed date and time in the light of the facts.”

  • Withholding agents should be allowed filing separate statements for salary cases

    Withholding agents should be allowed filing separate statements for salary cases

    KARACHI: Tax practitioners have urged the Federal Board of Revenue (FBR) to allow withholding agents to file separate statements for salary and other than salary cases.

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  • Around 2.9 million returns filed for Tax Year 2020 till May 01

    Around 2.9 million returns filed for Tax Year 2020 till May 01

    ISLAMABAD – The Federal Board of Revenue (FBR) announced on Saturday that the number of returns filedfor the tax year 2020 has surged to around 2.9 million as of May 01, 2021, marking a substantial growth of 12 percent compared to the same period last year.

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  • FBR fears coronavirus spread to affect revenue collection in last two months

    FBR fears coronavirus spread to affect revenue collection in last two months

    ISLAMABAD: Federal Board of Revenue (FBR) has feared that fast spread of coronavirus in the third wave may affect the efforts of revenue collection during the last two months.

    The FBR in a statement on Saturday said that the revenue collection during the last days of April was slowed down because of measures taken by the government to stop spread of coronavirus.

    The FBR feared that spread of coronavirus may affect the revenue collection efforts in the last two months of the current fiscal year.

    The FBR issued revenue collection figures that showed it achieved a 14 percent growth in net revenue collection for the period July – April 2020/2021.

    However, the revenue body is still facing challenging task to generate over Rs900 billion to achieve revised downward annual target of Rs4,690 billion.

    The FBR has been assigned Rs4.96 trillion revenue collection target for the fiscal year 2020/2021. However, after consultations the International Monetary Fund (IMF) had revised downward the revenue collection target to Rs4.691 trillion for the ongoing fiscal year.

    As per the provisional collection, the FBR collected Rs3,780 billion during July – April 2020/2021 as compared with Rs3,320 billion in the same period of the last fiscal year, showing a increase of 14 percent.

    However, the collection was higher than Rs3,637 billion – the assign collection target for the period under review.

    The FBR said that it had collected record revenue in April 2021. The FBR collected Rs384 billion in April 2021, which was 57 percent higher when compared with Rs240 billion in the same month of the last year.

    The gross revenue collection of the FBR was Rs3,976 billion during first 10 months of the current fiscal year as compared with Rs3,438 billion in the corresponding months of the last fiscal year.

    The issuance of refunds grew by 65 percent during first 10 months of the current fiscal year. The FBR issued refunds worth Rs195 billion during July – April 2020/2021 as compared with Rs118 billion in the same period of the last fiscal year.

  • FBR promotes IRS officers to BS-19

    FBR promotes IRS officers to BS-19

    ISLAMABAD: Federal Board of Revenue (FBR) has promoted officers of Inland Revenue Service (IRS) to BS-19 on regular basis with immediate effect.

    The FBR promoted following BS-18 IRS officers to BS-19 on regular basis:

    1. Zeeshan Asif

    2. Ms. Amina Batool

    3. Syed Mashkoor Ali

    4. Shahzad Ali Khan

    5. Ms. Kiran Maqsood

    6. Muhammad Imran

    7. Soban Ahmad

    8. Ms. Hira Nazir

    9. Muhammad Asif

    10. Tanvir Hussain Bhatti

    11. Ms. Nafeesa Bano

    12. Sami Ullah Khan

    13. Zulfiqar Ali

    14. Abid Hussain Gulshan

    15. Mohammad Hayat Khan

    16. Shoukat Ali

    17. Sohail Ahmad

    18. Rao Shahzad Akhter Ali Khan

    19. Ch. Murtaza Ali Akbar

    20. Syed Hasan Sardar

    21. Ms. Sana Aslam Janjua

    The FBR said that the officers, if drawing performance allowance prior to issuance of this notification, will continue to draw the same after regular promotion to BS-19.

    The officers, already working in BS-19 on acting charge basis or on OPS basis as Additional Commissioner / Additional Director / Secretary FBR (HQ), Islamabad shall actualize promotion at their present place of posting.

    For actualization of promotion in

    BS-19 on regular basis of the remaining officers, separate orders shall be issued.

  • Karamatullah Khan posted as Director General Intelligence and Investigation

    Karamatullah Khan posted as Director General Intelligence and Investigation

    ISLAMABAD: Federal Board of Revenue (FBR) on Friday transferred and posted Karamatullah Khan, a BS-21 officer of Inland Revenue Service (IRS), as Director General, Directorate General of Intelligence and Investigation (IR), Islamabad.

    Karamatullah Khan has been transferred from the post of Chief Commissioner, Regional Tax Office, Faisalabad.

    Shaban Bhatti (Inland Revenue Service/BS-21) has been transferred and posted as Chief Commissioner Inland Revenue, Regional Tax Office, Islamabad from the post of Directorate General, (SPR&S) Federal Board of Revenue (HQ), Islamabad.

    Mehmood Hussain Jafri, a BS-21 officer of IRS, has been transferred and posted as Chief Commissioner Inland Revenue, Regional Tax Office, Faisalabad from the post of Chief Commissioner, Regional Tax Office, Sargodha. The officer has also been assigned the additional charge of the post of Chief Commissioner – IR, Regional Tax Office, Sargodha for a period of three months under the rules.

  • Corporate tax rate should be brought down to 25pc

    Corporate tax rate should be brought down to 25pc

    KARACHI – Tax practitioners gathered at a pre-budget seminar organized by the Karachi Tax Bar Association (KTBA) have urged the government to consider reducing the corporate tax rate to 25 percent in the upcoming budget for 2021/2022.

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  • FBR advised to use withholding statements for identifying new taxpayers

    FBR advised to use withholding statements for identifying new taxpayers

    KARACHI: Tax practitioners have advised the Federal Board of Revenue (FBR) to examine withholding statements and extract information of persons not paying taxes and not filing their annual returns.

    The members of Karachi Tax Bar Association (KTBA) in their pre-budget 2021/2022 seminar urged the FBR for mining of its database to identify new taxpayers & those not fully discharging their liabilities

    FBR should extract information from withholding statements, details of government supplies and maintain a database of above third party information, according to a presentation made by Haider Patel, former president, KTBA.

    He further suggested that relevant organizations, departments, institutions including utility companies, banks, NADRA and information obtained related to offshore transactions should submit prescribed information on quarterly basis to the FBR.

    The FBR has been further advised effective enforcement for compliance of filing of Return of Income under section 114 of Income Tax Ordinance, 2001.

  • FBR notifies panel of advocates for Islamabad station

    FBR notifies panel of advocates for Islamabad station

    ISLAMABAD: Federal Board of Revenue (FBR) on Wednesday notified a panel of advocates to represent tax authorities before various courts and tribunals at Islamabad station.

    The FBR placed following advocates, on the Panel of FBR, relating to court matters of Inland Revenue Service for a period of three years:-

    01. Atti q-Ur-Rehman

    02. Usman Ahmed Ranjha

    03. Chaudary Shafiq-Ur Rehman

    04. Salman Ajaib

    05. Bilal Tariq Khan

    06. Barriester Shayyan Qaisar

    07. Ms. Ayesha Siddique Khan

    08. Shaheer Bin Tahir

    09. Mohsin Kamal Awan

    10. Nargis Sultana Chohan

    11. Raja Zubair Hussain Jarral

    12. Asad Hussain Ghalib

    13. Barrister Waias Az z Qureshi

    14. Zeeshan Ali

    15. Lajbar Khan Khalil

    16. Osama Amin Qazi

    17. Abdul Munaf Khan

    18. Ali Nawaz Kharal

    19. Farrukh Iqbal

    20. Shumayl Aziz

    21. Usman Rasool Ghuman

    Advocates may be assigned Court cases for pleading before various Courts / Tribunals at Islamabad Station, on the basis of merit, keeping in view their experience and facts of the each case.

    The matter relating to professional fee/ special professional fee, appointment, performance evaluation, de-notification, conduct of the Panel Advocates and other related matters will be governed by the SOPs/ policy guidelines circulated vide/ FBR’s letter No. 176432 dated 12.10.2020, No. 129965-R dated 24.10.2017 and No. 9(2)PA/2020-21(Pt) dated 26.01.2021 and any other notification issued or to be issued from time to time.

  • FBR creates tax demand of over Rs667 million against Bank Alfalah

    FBR creates tax demand of over Rs667 million against Bank Alfalah

    KARACHI: Tax authorities have created an income tax demand of over Rs667 million against Bank Alfalah for default in payment and wrongly allocation of expenses.

    According to official documents made available on Wednesday, a tax office of Federal Board of Revenue (FBR) had issued notice to the bank for recovery of amount.

    The bank said in respect of tax years 2008, 2014, 2017 and 2019, the tax authorities had raised certain issues including default in payment of WWF, allocation of expenses to dividend and capital gains, dividend income from mutual funds not being taken under income from business and disallowance of Leasehold improvements resulting in additional demand of Rs. 667.746 million.

    As a result of appeal filed before Commissioner Appeals against these issues, relief has been provided for tax amount of Rs. 184.218 million appeal effect orders are pending. Bank has filed appeals on these issues which are pending before Commissioner Appeals and Appellate Tribunal.

    “The management is confident that these matters will be decided in favour of the bank.”

    The bank further said that the income tax assessments of the bank had been finalized up to and including tax year 2020. Matters of disagreement exist between the bank and tax authorities for various assessment years and are pending with the Commissioner of Inland Revenue (Appeals), Appellate Tribunal Inland Revenue (ATIR), High Court of Sindh and Supreme Court of Pakistan.

    These issues mainly relate to addition of mark up in suspense to income, taxability of profit on government securities, bad debts written off and disallowances relating to profit and loss expenses.

    Besides income tax, the bank has received an order from a tax authority wherein Sales tax and Further Tax amounting to Rs.8.601 million [excluding default surcharge and penalty] is demanded allegedly for non-payment of sales tax on certain transactions relating to accounting year 2016. The bank is in process of filing an appeal against this order in consultation with Tax Consultant.

    Furthermore, the bank has received orders from a provincial tax authority wherein tax authority demanded sales tax on banking services and penalty amounting to Rs.488.211 million (December 31, 2020: Rs.488.211 million) excluding default surcharge by disallowing certain exemptions of sales tax on banking services and allegedly for short payment of sales tax covering period from July 2011 to June 2014. Bank’s appeals against these orders are currently pending before Commissioner Appeals.

    ADDS REJOINDER BY BANK ALFALAH

    “Apropos the news item circulating in media about “FBR creates tax demand of Rs.667m against Bank Alfalah” is misperceived. It seems that Tax Contingency Note of the bank is taken as source. Tax contingency note is generally a part of financial statement of almost every bank wherein tax matters are disclosed for users of financial statements. In tax contingency note of the bank Rs.667m is only a number relates to tax matters of past many years and not a new tax demand which is created by FBR.”