Press Release:

Jan 26, 2012

Negotiations held between Pakistan and Senegal on Avoidance of Double Taxation
 

First round of four-day negotiations concluded here today at Islamabad between the delegations of Pakistan and Senegal on the draft Convention for Avoidance of Double Taxation and Prevention of Fiscal Evasion with respect to Taxes on Income. Pakistan’s delegation was headed by Mr. Shahid Hussain Asad, Member (Inland Revenue), Federal Board of Revenue, while the Senegalese delegation was headed by Mr. El Hadji Ibrahima DIOP, Director of Legislation, Studies and Litigation.

The Senegalese delegation was briefed about the tax system of Pakistan, its economy and the 61 Conventions/Agreements for Avoidance of Double Taxation that Pakistan has signed with other countries so far. The negotiations were conducted in a cordial and friendly atmosphere at FBR Headquarters, Islamabad. Both sides presented and appreciated each other’s respective positions. The negotiations will continue in its second round to reach an agreement between the two countries in near future.

Mohammad Shahzad
Secretary (PR)

 

Jan 24, 2012

Customs Collectorates to remain open on Saturday 28th January, 2012

FBR has ordered that all the Model Customs Collectorates shall remain open on Saturday 28th January, 2012, as normal working days in order to facilitate the trade and industry in getting their cargo cleared for imports and exports.

The management of State Bank of Pakistan and National Bank of Pakistan has been requested to provide banking facility by the designated branches on the above mentioned dates to ensure the payment of duty and taxes. The port authorities/port operators have also been advised to synchronize their working, accordingly.

Mohammad Shahzad
Secretary PR

 

Jan 20, 2012

Taxpayers’ Interaction Seminar held at RTO Hyderabad

Facilitation and Taxpayers Education (FATE) Wing of the FBR arranged a Taxpayers interaction seminar at Regional Tax Office (RTO) Hyderabad today. The seminar was arranged by FATE Wing, in coordination with RTO Hyderabad, as part of a series of seminars currently being arranged under Taxpayers Awareness Initiative and was attended by members of Hyderabad Tax Bar Association, Central Sindh Tax bar, representatives of major withholding agents, Chambers of Commerce & Industry of Hyderabad, Mirpurkhas and Thatta; Sindh-Balochistan Rice Millers Association, representatives of Pakistan Tax Bar Association and FBR officials. During the interactive seminar, detailed presentations were made on working of the Facilitation and Taxpayers Education (FATE) Wing, “Documentation of Economy & Tax Evasion” and “e-services for Taxpayers” followed by a detailed Questions and Answers session.

During the Questions and Answers session, the participants voiced their concerns over the topics covered in the presentations and highlighted their general and specific issues. The FBR officials present in the seminar addressed those concerns and noted down the suggestions for further perusal. The participants also appreciated the initiative of Taxpayers’ interaction, awareness and facilitation undertaken by the FATE Wing of the FBR and said that this should be made a regular feature. The Chief Commissioner RTO Hyderabad Mr. Misri Ladhani, thanked the participants for attending the seminar and making it a success. He also appreciated the efforts of FBR officials of RTO Hyderabad for arranging the event and thanked the FATE Wing for providing an avenue for interaction between the taxpayers and the Federal Board of Revenue. Additional Commissioner Mr. Farooque Azam Memon and DC (HQ) Mr. Peer Khalid also addressed the seminar. During the Questions and Answers session, the participants voiced their concerns over the topics covered in the presentations and highlighted their general and specific issues. The FBR officials present in the seminar addressed those concerns and noted down the suggestions for further perusal. The participants also appreciated the initiative of Taxpayers’ interaction, awareness and facilitation undertaken by the FATE Wing of the FBR and said that this should be made a regular feature. The Chief Commissioner RTO Hyderabad Mr. Misri Ladhani, thanked the participants for attending the seminar and making it a success. He also appreciated the efforts of FBR officials of RTO Hyderabad for arranging the event and thanked the FATE Wing for providing an avenue for interaction between the taxpayers and the Federal Board of Revenue. Additional Commissioner Mr. Farooque Azam Memon and DC (HQ) Mr. Peer Khalid also addressed the seminar.

 

Mohammad Shahzad
Secretary (PR) 

 

Jan 06, 2012

FBR promotes officers of IRS to BS-20 & 21 on the basis of FST, Islamabad decision

The Federal Board of Revenue (FBR) strongly contradicts the false impression created through a section of the press on 29.12.2011 regarding promotion of IRS officers from BS-19 to BS-20 and BS-20 to 21, alleging that the promotions were made in gross violation of the verdict of Federal Services Tribunal (FST), Islamabad.

2. Promotions in Inland Revenue Service were made on the recommendations of Central Selection Board (CSB) and with the approval of the competent authority. Federal Service Tribunal in its decision dated 02.12.2011 had inter-alia observed that "Promotion and seniority are definitely not vested rights. Sections-8 and 9 of the Civil Servants Act, 1973 read together with section 4(1) proviso (b) of the Service Tribunals Act, 1973 are very clear on that However, to be considered for promotion and seniority is a vested right. A civil servant may not be able to file an appeal to get seniority or promotion but he can definitely file an appeal to get meaningful consideration for his seniority/promotion. In the present case the appellants could not claim safeguard of their right to seniority and promotion. However, they could definitely make a prayer that they should have been considered correctly for their seniority/promotion.

Recognizing the jurisdiction of FBR, the Honorable FST has further given observations as under:-

That the Government/FBR is fully competent to decide this assertion of the appellants and respondents that some promotions have already been made in violation of seniority rules and even the aggrieved parties can seek remedy in appropriate forum.
The Honorable FST vacated the stay order imposed on promotions with the following remarks: -

That the FBR/Government may make promotions on the principle of seniority discussed above and the embargo imposed by the FST in that regard is lifted."

3.  In light of the decision of FST, Islamabad Seniority List dated 14.12.2010 is now valid for all practical purposes. Promotions already made from BS-20 to BS-21 and BS-19 to BS-20 vide Notifications dated 02.12.2011 & 03.12.2011 have not been rejected/nullified by FST, Islamabad and the final promotions were made in compliance of the orders of FST, Islamabad.

4.  The cases of those officers which could not be presented to CSB and so not considered for promotion due to seniority dispute or being junior in seniority in the impugned seniority list would be presented in the next CSB according to their seniority based on the list upheld by the FST. The senior officers if recommended for promotion would be re-assigned seniority in next scales as per their seniority upheld by the Honorable FST, Islamabad.

Mohammad Shahzad
Secretary PR
 

Jan 01, 2012

FBR Collects Rs. 840.7 billion upto December 2011

According to the provisional figures, the FBR through cashreporting system has collected Rs 201.7 billion during the month of December 2011. Federal Board of Revenue (FBR) collected Rs 840.7 billion of revenue estimates up to December 2011, as compared to Rs 661.7 billion collected during the corresponding period of the last year i.e. upto December 2010, showing an increase of 27.05 per cent.

Riffat Shaheen Qazi
Member (FATE) Official Spokesperson, FBR

Dec 29, 2011

FBR EXTENDS WORKING HOURS TO FACILITATE FILING OF CORPORATE INCOME TAX RETURNS – SBP/NBP BRANCHES ALSO TO REMAIN OPEN TILL 10:00 PM ON 30TH & 31ST DECEMBER

In a bid to facilitate the taxpayers, Federal Board of Revenue has decided to extend the office timings of all the Large Taxpayer Units, Regional Tax Offices and Tax Facilitation Centers on 30th and 31st December 2011, beyond office hours upto 10:00 P.M. for receiving of Returns and Payment of Taxes from the corporate sector, which are due on 31st December 2011.

All authorized branches of State Bank of Pakistan and National Bank of Pakistan will also remain open beyond their normal working hours till 10:00 P.M on 30th and 31st December, 2011 to collect tax revenue.

Dec 28, 2011

Extended working hours of SBP field offices and NBP on 30th and 31st December, 2011.

As requested by the Federal Board of Revenue, the State Bank of Pakistan has issued necessary instructions to SBP BSC field offices and NBP to remain open for extended hours till 10:00 pm on 30th and 31st December 2011, to facilitate the trade and industry in getting their cargo cleared for imports and exports and for receiving of returns and payments of duty and taxes.

In order to ensure that all receipts collected on 31st December 2011 are credited to the Government Account on the instant date, a second / special clearing at 1 1:00 pm, 31st December 2011 has been arranged so that all the clearing instruments received up to 10:00 pm are cleared and credited to the Government Account in value date of 31st December 2011.

The concerned institution / taxpayers should present State Bank cheques in order to ensure the crediting of amount to the Government Account on the same day.

Mohammad Shahzad
Secretary PR

Dec 23, 2011

FBR implements WeBOC at Pakistan International Container Terminal

The Federal Board of Revenue, after successful implementation of Web-Based One Customs (WeBOC) system at Port Qasim Terminal, is pleased to implement WeBOC at Pakistan International Container Terminal (PICT), to handle the Imports and exports Goods Declarations (GDs) with effect from 17-12-2011. WeBOC has been designed to handle these GDs, earlier being handled through MCC PaCCS.

As part of the transition process, different steps were taken to facilitate smooth transition with effect from 17-12-2011:

1. All new VIRs at PICT were to be electronically filed in WeBOC.
2. All import GDs pertaining to VIRs filed on the date or afterwards at PICT to be processed in WeBOC; however existing exclusions in PaCCS continue to be processed under OneCustoms.
3. All exports GDs filed on or after the date pertaining to PICT to be processed in WeBOC.
4. MCC PaCCS to clear GDs under process in PaCCS at the earliest but not later than 24-12-2011
5. Help Desk has been established in MCC PaCCS to provide necessary assistance to trade.
It may also be noted that CC PaCCS need to retain hardcopies of such GDs pertaining to PICT and KICT which remain under process. Extracts of all IGMs already filed in PaCCS during the last 30 days shall be progressively uploaded into One Customs System for both PICT and KICT.
Project Director WeBOC and Collector MCC PaCCS have been empowered to take necessary operational decisions to achieve smooth and trouble free transition.

Mohammad Shahzad
Secretary (PR)


Dec 23, 2011

Model Customs Collectorates shall remain open on Saturday 24th and 31st December, 2011

FBR has ordered that all the Model Customs Collectorates shall remain open on Saturday 24th and 31st December, 2011, as normal working days and has also extended the office hours on 30th and 31st December, 2011 upto 2200 hours, in order to facilitate the trade and industry in getting their cargo cleared for imports and exports.

The designated branches of State Bank of Pakistan and National Bank of Pakistan would also remain open till 2200 hours, on the above mentioned dates and for the extended office hours, to provide banking facility so as to ensure the payment of duty and taxes.
The port authorities/port operators have also been advised to synchronize their working, accordingly.

Mohammad Shahzad
Secretary (PR)
 

Dec 23, 2011

Finance Minister chairs 7th meeting of Tax Reforms Core Group at FBR

The seventh meeting of the Tax Reforms Core Group (TRCG) was held in the Board Room of FBR Headquarters under the chairmanship of Federal Minister for Finance Dr. Abdul hafeez Sheikh.

The meeting discussed the progress due to reorganization of FBR, finalization of administrative-measures agreed with World Bank in April 2011, Centralized Audit, Revenue collection of FBR as well as expanding the Outreach Program. The meeting included an update on redrafting the treatment of five zero-rated export sectors, Tax incentivization scheme as well as proposals of stamps on cigarette packs to help identify/smuggled/non-excise paid cigarette packs and enforcement of Capital Gains Tax.

The meeting was attended by Chairman FBR Mr. Salman Siddique, Deputy Chairman Planning Commission Mr. Nadeem ul Haq, Members (TRCG) Mr. Abdullah Yusuf, Mr. Habib Fakhruddin, Mr. Arshad Zuberi, Mr. Bashir Ali Mohammad, Mr. Ali Jameel, Mr. Muhammad Arshad Chaudhry, Mr. Ashfaq Tola, Chairman SECP Mr. Muhammad Ali, alongwith the core team members of FBR, Mr. Mumtaz Haider Rizvi, Member (Customs), Hafiz Muhammad Anees, Member (Taxpayers Audit), Ms. Riffat Shaheen Qazi, Member (FATE), Mr. Shahid Hussain Asad, Member (IR), Sardar Amimullah Khan, Member (Enf. & Acctt), Mr. Imtiaz Ahmad Khan, GM PRAL, Dr. Amna Khalifa DG (SP&R) and Dr. Khaqan Hassan Najeeb DG (ERU), Finance Division.
The Finance Minister reviewed the revenue performance of FBR and desired that a follow-up meeting of the TRCG be held after two weeks to have a complete analysis of the taxpayers’ data and to discuss strategy to pursue the non-taxpayers.

Progress of Broadening of Tax Base was discussed alongwith review of the progress on the 295,000 notices issued to non-filers. The minister also directed the Member (IR) to ensure that notices to the remaining 300,000 non-tax filers be issued on priority Member (TRCG) , Mr. Muhammad Ali, would also give a presentation on Capital Gains Tax (CGT) in the follow up meeting alongwith relevant data and strategy for enforcement of CGT based on meetings with Member (IR).

The Policy Wing of FBR was asked to give a breakup of revenue based analysis of the amount of revenue generated due to exclusive efforts of FBR, and those due to the policy decisions and due to exchange rate difference. The expected revenue collection during the period January to June 2012 was also reviewed. The Minister for Finance desired that in the next meeting, the preliminary budget proposals and efficiency enhancement measures would also be taken up for discussion.

Earlier Member IR Mr. Shahid Hussain Asad, Member (Customs) Mr. Mumtaz Haider Rizvi, DG (SP&R) Dr. Amna Khalifa gave presentations on performance and revenue targets of FBR while Member (FATE) Ms. Riffat Shaheen Qazi , gave a presentation on the Outreach and Awareness programs with the way forward strategy for expanding the Outreach programs. Proposals were also put forward by members of TRCG on various policy issues.

The Federal Minister for Finance, at the close of meeting, appreciated the efforts of FBR officers and expressed confidence and hope that the assigned budget targets would be achieved through sustained efforts.

Mohammad Shahzad
Secretary PR
 

Dec 15, 2011

Model Customs Collectorates shall remain open on Saturday 17th, 24th and 31st December, 2011

FBR has ordered that all the Model Customs Collectorates shall remain open on Saturday 17th, 24th and 31st December, 2011, as normal working days in order to facilitate the trade and industry in getting their cargo cleared for imports and exports.

The management of State Bank of Pakistan and National Bank of Pakistan has been requested to provide banking facility by the designated branches on the above mentioned dates to ensure the payment of duty and taxes. The port authorities/port operators have also been advised to synchronize their working, accordingly.
 

Nov 29, 2011

No further extension of date for filing of Income Tax / Sales Tax returns: FBR

The Tax Reform Core Group, in its two-day meeting with the Federal Board of Revenue officials concluded here today, has expressed its extreme reservation over frequent extensions being granted by the Board in filing of Income Tax and Sales Tax returns.

A firm policy decision was taken in the meeting, presided over by the Chairman FBR, Mr. Salman Siddique, that the statutory dates of filing the Income Tax / Sales Tax returns shall not be extended in future, particularly for the returns required to be filed by the companies on 31st December, 2011.

The taxpayers are advised to file their returns on the stipulated dates as no extension in date shall be contemplated, as decided by the Tax Reform Core Group in its meeting.

The meeting was attended by Tax Reform Core Group members Mr. Abdullah Yusuf, Mr. Arshad Zuberi, Mr. Shabbar Zaidi and Mr. Ashfaq Tola and the top officials of FBR including Member (IR) Mr. Shahid Hussain Asad, Member (Customs) Mr. Mumtaz Haider Rizvi, Member (FATE) Ms. Riffat Shaheen Qazi, Member (Taxpayers Audit) Hafiz Anis, Member (Enforcement & Accounting) Sardar Aminullah Khan, DG (HRM) Ms. Raana Seerat, DG (SP&S) Ms. Amna Khalifa and GM (PRAL) Mr. Imtiaz Ali Khan.

Mohammad Shahzad
Secretary PR



Nov 28, 2011

Action against fraudulent import of Automatic weapons

The Federal Board of Revenue, taking cognizance of cases of mis-declaration and fraudulent import of automatic weapons by unscrupulous importers and clearing agents, has directed all its Customs Collectorates to be extra vigilant while examining these imports.
These directions have been issued in the light of three different FIRs lodged by Model Customs Collectorate, Lahore, against these importers and clearing agents who had tried to import automatic weapons by mis-declaring them.
The FBR has also started an independent investigation into the allegations of involvement of customs officials in these mid-declarations and fraudulent imports of automatic weapons.

Mohammad Shahzad
Secretary PR

Nov 23, 2011

FBR issues new SRO to supersede SRO 1012(I)/2011of 4th November

In exercise of the powers conferred by clause (c) of section 4 read with clause (b) of sub-section (2) and sub-section (6) of section 3, clause (b) of sub-section (1) of section 8, clause (a) of sub-section (2) of section 13 and section 71 of Sales Tax Act, 1990, and in supersession of its Notifications. No. S.R.O. 1012(I)/2011, dated the 4th November, 2011, the Federal Government is pleased to notify the goods specified in column (2) of the Table below under the PCT heading numbers mentioned in column (3) of the said Table, to be the goods on which sales tax shall, subject to the conditions stated in this notification, be charged at the rate of zero percent on the supply and import thereof, or at reduced rate of sales tax of six percent or, as the case may be, at four percent as specified in the said conditions. For table and further details, the copy of the SRO is attached as well as can be found at FBR’s website: http://www.fbr.gov.pk/DownloadDocs.aspx?id=5621&Path=http://www.fbr.gov.pk/SROs/2011112316114016840FINALSRO.pdf&Type=SROS

Mohammad Shahzad
Secretary PR

 

Nov 22, 2011

Extension of Date for filing of IT Returns / Statements of final taxation alongwith payment of tax for Tax year 2011

In exercise of the powers conferred under section 214A of the Income Tax Ordinance, 2001, Federal Board of Revenue is pleased to extend the date of filing of income tax returns alongwith payment of tax for the Tax Year 2011 as follows:- Returns of Total Income/Statements of final taxation due on 21st November, 2011; the date of filling is extended to 30th November, 2011.

Mohammad Shahzad
Secretary PR
 

Nov 18, 2011

All Model Customs Collectorates to remain open on Saturday 19th November, 2011

FBR has ordered that all the Model Customs Collectorates shall remain open on Saturday 19th November, 2011, as normal working day in order to facilitate the trade and industry in getting their cargo cleared for imports and exports.

The management of State Bank of Pakistan and National Bank of Pakistan has been requested to provide banking facility by the designated branches on the above mentioned date to ensure the payment of duty and taxes. The port authorities/port operators have also been advised to synchronize their working, accordingly.

Mohammad Shahzad
Secretary PR

Nov 17, 2011

FBR EXTENDS DATE OF FILING OF SALES TAX/FEDERAL EXCISE DUTY RETURNS

The Federal Board of Revenue has extended the date of filing of Sales Tax/ Federal Excise Duty returns for the period October, 2011.

In a letter issued here, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date of filing of Sales Tax /Federal Excise Duty returns has been extended upto 25th November, 2011 for the tax period
October, 2011, for all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary PR


Nov 17, 2011

FBR EXTENDS DATE OF FILING OF SALES TAX/FEDERAL EXCISE DUTY RETURNS

The Federal Board of Revenue has extended the date of filing of Sales Tax/ Federal Excise Duty returns for the period October, 2011.

In a letter issued here, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date of filing of Sales Tax /Federal Excise Duty returns has been extended upto 25th November, 2011 for the tax period
October, 2011, for all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary PR


Nov 11, 2011

All Model Customs Collectorates to remain open on Saturday, 12th November, 2011

FBR has ordered that all the Model Customs Collectorates shall remain open on Saturday 12th November, 2011, as a normal working day in order to facilitate the trade and industry in getting their cargo cleared for imports and exports. The management of State Bank of Pakistan and National Bank of Pakistan has been requested to provide banking facility by the designated branches on the above mentioned date to ensure the payment of duty and taxes. The port authorities/port operators have also been advised to synchronize their working, accordingly.

Mohammad Shahzad
Secretary (PR)
 

Nov 04, 2011

Commoners of 11th CTP to Commemorate Century’s get together on 11.11.11

Islamabad the 5th November, 2011. A group of officers of 11th Common Training Program, headed by Commissioner Regional Tax Office, Rawalpindi, Ms. Rakhshanda Aziz Babar are planning to arrange a get together of the CTP Batch on November 11, 2011 to commemorate the unique date. All officers of the 11th Common are invited for the re-union in a local Club, said an announcement issued here today.

Mujeeb ur Rehman Talpur
Second Secretary (PR)


Nov 04, 2011

FBR Amends Annexure-D to the tax return form for the Tax Year 2011

The Federal Board of Revenue has issued here today Circular No. 18 of 2011 (Income Tax), regarding amendments in Annexure-D to the Tax Return Form for the Tax Year 2011. The Circular states that after consultation with the FPCCI , chambers of commerce/trade bodies and tax bars of the country, the following changes are made in Annex-D to the tax return form for the tax year, 2011:- i. Breakup of "Education of children/spouse/self' is made optional, which can be included in Sr-9. ii. Breakup of "Travelling (foreign and local)" is made optional, which can be included in Sr-9. iii. "Motor vehicle in use (whether owned or not) running and maintenance including lease rental and insurance" is simplified as, “Running and maintenance expenses of Motor vehicle(s)” iv. A new line has been provided to write the Contribution by family members"

Mohammad Shahzad
Secretary (PR)


Nov 04, 2011

FBR extends date of payment of tax alongwith the return of total income/statement of final taxation for the tax year 2011

The Federal Board of Revenue issued circular No. 17 of 2011 here today, regarding extension in the date of payment of tax alongw1th the return of total income/statement of final taxation for the tax year 2011. It has been represented by the All Pakistan Tax Bar Association and other trade bodies of the country that as the date of filing of Return of Total Income/Statement of Final Taxation for the tax year 2011 has been extended upto 21st November, 2011 and the fact that Eid-ul-Azha is approaching and many taxpayers are out of the country for performance of Hajj, the date of deposit of tax may also be extended upto 21st November, 2011. Therefore, in exercise of powers conferred under section 241A of the Income Tax Ordinance, 2001, the FBR is pleased to extend the date of deposit of tax liability alongwith the return upto 21st November, 2011.

Mohammad Shahzad
Second Secretary (PR)

 

Oct 31, 2011

FATE Wing of FBR completes first phase of Outreach program

The Facilitation And Taxpayers Education (FATE) wing of the FBR has completed the first phase of its Outreach plan assigned by the Federal Minister for Finance to have interactive sessions between the top management of FBR and the presidents and representatives of Chambers of Commerce & Trade, Tax bars and representatives of other trade associations. The next phase of the Outreach program is scheduled to be launched by end of November, 2011.

In the first phase, FATE Wing arranged Taxpayers’ Interaction Seminars at Islamabad / Rawalpindi, Lahore and Karachi. The seminars were chaired by the Chairman FBR Mr. Salman Siddique and were attended by top management of the FBR as well as presidents and representatives of respective Chambers of commerce & trade, heads of business and trade bodies and members of business community.

These Taxpayers’ Interaction Seminars are also being arranged under the ambit of the FATE Wing of the FBR in other major cities of the country to interact with their respective Chambers of Commerce & Trade to facilitate and educate them about the various initiatives of the FATE Wing undertaken for facilitation of the taxpayers. It has successfully arranged seminars at Peshawar and Sargodha and is arranging similar seminar at Gujranwala on 1st November 2011. Seminars would also be arranged by at Sialkot, Multan, Bahawalpur, Quetta, Sukkur, Abbottabad, Hyderabad and Faisalabad afterwards.

The Facilitation And Taxpayers’ Education wing of FBR has embarked upon this awareness campaign all over the country to explain the reforms and initiatives taken by FBR to facilitate the taxpayers and to orient the taxpayers, through the Chambers of Commerce & Trade and representatives in this regard. The concerns and queries of the Chambers of Commerce & Trade and business community are also addressed and considered during the interactive seminars.

Mohammad Shahzad
Secretary (PR)

Oct 27, 2011

Custom Houses to remain open on 29th and 30th October, 2011

Federal Board of Revenue has announced that all the Model Customs Collectorates shall remain open on Saturday and Sunday 29th & 30th October, 2011, respectively as normal working days in order to facilitate the trade and industry in getting their cargo cleared for imports and exports. The Chief Collectors have been directed to coordinate with management of State Bank of Pakistan and National Bank of Pakistan to Provide banking facility by the designated branches on the above mentioned dates to ensure the payment of duty and taxes. The port authorities/port operators have been advised to synchronize their working accordingly.

Mohammad Shahzad
Secretary (PR)

Oct 19, 2011

FBR imposes Liquidated Damages on Contractors/Suppliers

Federal Board of Revenue (FBR) is in the process of implementation of Tax Reforms through financing from the World Bank/DFID. These reforms with the name of Tax Administration Reform Program' (TARP) were started w.e.f. January 2005 and financing of this program is completing by 31.12.2011.

There were different activities undertaken under this program including infrastructure upgradation which included both Information Communication Technology (ICT) and physical infrastructure upgradation. Under this program, Tax Offices throughout the country were upgraded through interior development and refurbishment. At 13 locations, Transit Accommodations were constructed.

For this purpose, after completion of the prescribed processes by the World Bank, contracts were awarded to different contractors/suppliers for completion of the jobs. In every contract there were given timelines for completion of the activities. In case of intentional default by the contractors/ suppliers Liquidated Damages (LD) are imposed on the contractors/suppliers.

In this process, FBR has imposed Liquidated Damages ranging from Rs.65,000/- to Rs.4,200,000/- on M/s EMBA Corporation for delayed delivery of the goods, M/s National Engineering Works, Ahmad Hussain Jagirani, M/s Perk Engineers & Contractors and M/s SKB for delayed completion of the interior development and refurbishment of the contracted activities.

FBR has advised all its contractors and suppliers to abide by the given timelines failing which penal provisions as incorporated in the related contract agreements will be invoked.

Muhammad Shahzad
Secretary PR

Oct 17, 2011

FBR hold first Taxpayers’ Interaction Seminar

The Facilitation and Taxpayers Education (FATE) wing of the Federal Board of Revenue arranged a Taxpayers’ Interaction Seminar in to have an interactive dialogue between the FBR and representatives of Rawalpindi-Islamabad Chambers of Commerce & Trade, Tax bars and members of the business community, at the ICAP Auditorium here today. It was the first of a series of interactive seminars to be held in major cities including Lahore and Karachi.

The seminar was chaired by Chairman FBR, Mr. Salman Siddique and was also attended by top officials of the Federal Board of Revenue as well as Chief Economist USAID Mr. Thomas Morris, CEO Competitiveness Support Fund Mr. Shahab Khawaja and consultants of CSF Mr. Abdullah Yousuf and Mr. Habib Fakhruddin, among others.
Addressing the seminar, the Chairman FBR welcomed the participants and said that this seminar is a great initiative taken by the FATE Wing under the Outreach plan assigned by the Federal Minister for Finance to have an interactive session between the top management of FBR and the presidents and representatives of Rawalpindi Islamabad Chambers of Commerce & Trade, Tax bars and representatives of other trade associations. He said that this kind of interaction is crucial to know and understand one another’s point of view and thus evolving a better tax system with mutual collaboration.

Stressing the core function of the FBR to facilitate and help the taxpayers’ Mr. Salman Siddique stressed the need to bring the Taxpayers and FBR closer and to remove the misunderstandings, if any, to build a stronger relationship.

He stressed the need to increase the Tax-to-GDP ratio to increase revenue collection for nation building and development. “I believe that everyone with an income above the exemption level should be taxed”. He stressed the need of capacity building of the federal, provincial and local tax machinery for better revenue collection system.

The Chairman FBR also underlined the importance of these interactive sessions stating that these facilitation efforts of FBR should also be considered as the start of consultative process for general and specific suggestions and also asked the Chambers to give their written proposal to FBR for the next finance bill.

Speaking on the occasion Mr. Abdullah Yousuf said that private sector should also come forward and create its own think tanks to provide the necessary research input for putting forward concrete proposals. He said that private sector should support the government’s policies if these are backed by solid research.

He welcomed the initiative by the FATE Wing and encouraged the taxpayers to not lose this opportunity of registering their issues and to come up with solid suggestions regarding next budget. He also appreciated the performance of the FATE wing to facilitate the taxpayers.

He said that with the introduction of automation in the tax system, all tax information should be gathered electronically so that a data warehouse can be established to cross reference the data.

A detailed presentation on the working of the FATE Wing and its initiatives for facilitation and education of the taxpayers was given to explain the e-services, including the FBR’s website and FATE helpline as well as the future initiatives undertaken by the Wing to achieve the organizational objectives.

The presentation was followed by a detailed Questions & Answers session in which the stakeholders pointed out their issues.

Senior Vice President of Rawalpindi Chamber of Commerce & Industry Mr. Raja Amer Iqbal appreciated the seminar and said that he felt encouraged that taxpayers’ views are included in the process. He highlighted the problems faced by the taxpayers and put forward suggestions for rejuvenation of economy and better revenue generation and collection.

President Tax Bar Association Mr. Shaukat Baloch highlighted the issues in filing of returns faced by the tax bar and gave suggestions to rectify those.

The Chairman FBR thanked the audience for their quality input and said that all these points of concern would be addressed after proper consultation with the relevant officials so as to resolve these issues, once and for all.

The seminar was concluded by a vote of thanks by the Member FATE, FBR, Mrs. Riffat Shaheen Qazi. She said that this is the first of a series of seminars to be arranged by the FATE Wing. Such seminars would be arranged all over the country in the coming months. She thanked the stakeholders for actively participating in the discussion and said that this input by them would greatly help towards fine-tuning the system. She also hoped that this process would continue in the future.

Mohammad Shahzad
Secretary (PR)
 

Oct 16, 2011

FBR to hold Taxpayers’ Interaction seminars

The Facilitation and Taxpayers Education (FATE) Wing, FBR is launching a series of Taxpayers’ Interaction seminars to have an interactive dialogue process with the Taxpayers, Chambers of Commerce & Trade, Tax Bars, trade bodies and other stakeholders.

The first seminar in this series would be held on 17th October in Islamabad at ICAP Auditorium, Islamabad. This seminar would be attended by the top management of Federal Board of Revenue, Chairman FBR, Member IR, Member FATE, Member Customs, as well as the GM PRAL. Mr Abdullah Yousuf and Mr. Habib Fakhruddin of Competitiveness Support Fund (CSF), USAID would also be present on the occasion.

The FATE wing of FBR has embarked upon an awareness campaign all over the country to explain and to orient the taxpayers through the Chambers of Commerce & Trade and representatives, regarding the reforms and initiatives taken by FBR to facilitate the taxpayers. The concerns and queries of the Chambers and Tax bars would also be addressed and considered.

The seminars at Karachi, Lahore and Rawalpindi/ Islamabad are being arranged in liaison with the experts of CSF program, Mr. Abdullah Yusuf and Mr. Habib Fakhruddin.
Mohammad Shahzad
Secretary (PR)

Oct 06, 2011

SEIZURE OF 239 KGS HASHISH & 35 KGS OPIUM VALUED AT 19.24 MILLION

An attempt to smuggle huge quantity of opium and hashish from tribal areas to down country via Motorway (M-1) and ultimately abroad, was foiled by the staff of Directorate General Intelligence and Investigation, FBR, due to mounted surveillance near Rashaki Interchange, Motorway.

On 04-10-2011, at about 1300 hours, the staff of Directorate General stopped a suspected motor car bearing Reg. No. MNV-3857 near Rashakai Interchange of Motorway (M-1). Search of the vehicle lead to the recovery of 35Kgs of Hashish concealed in a secret cavity specially designed for the purpose in the rear bumper of the vehicle. The driver namely Muhammad Saeed was taken into custody. Hashish and the vehicle, valued at Rs 2.50 million, have been seized. FIR No 56 dated 04.10.2011 has been lodged against the accused under the Customs Act, 1969 and CNSA 1997.

On 05-10-2011 at about 1300 hours, a suspected Nissan Pickup bearing Reg. No. KM-3461 was stopped and searched. 35 Kgs of Opium and 204 Kgs of Hashish was recovered and seized from the specially designed cavity in the floor of the vehicle. The Opium, Hashish and the vehicle was valued at Rs 16.740 million. The Driver Muhammad Sarfraz was taken into custody. FIR No 57 dated 05.10.2011 has been lodged against the accused under the Customs Act, 1969 and CNSA 1997.
Further investigation of the cases is in progress.

Mohammad Shahzad
Secretary PR
 

Oct 04, 2011

Updated revenue collection figures for collection upto 30th September,2011 (Provisional)

Sep 30, 2011

Extension of the Date for Filling of Sales Tax / Federal Excise Returns for the Period of August, 2011 for All Registered Persons

The Federal Board of Revenue has extended the dates for filing of Sales Tax and Federal Excise Returns for the period August, 2011.

In a letter issued here today, it has been communicated to all Chief Commissioners of LTUs and RTOs that the date for filing of Sales Tax / Federal Excise Returns has been extended upto 5th October, 2011. This extension of date is for the Tax period August 2011, and is applicable to all registered persons. This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Sep. 26, 2011

Extension of Date for filing of Income Tax Returns / Statements for Tax year 2011

In exercise of the powers conferred under section 214A of the Income Tax Ordinance 2011, The Federal Board of Revenue is pleased to extend the date of filing of Income Tax Return for the Tax Year 2011 s follows:-

Returns of Total Income/Statements of final Taxation due on 31st of August 2011; the date of filing is extended to 25th October, 2011.

Mohammad Shahzad
Secretary PR



Sep 26, 2011

Return filing date for Sales Tax & FE for the period July, August 2011 is extended up to 30-Sep-2011

The Federal Board of Revenue has extended the dates for filing of Sales Tax and Federal Excise Returns for the periods July & August, 2011.

In a letter issued here today, it has been communicated to all Chief Commissioners of LTUs and RTOs that the date for filing of Sales Tax / Federal Excise Returns has been extended upto 30th September, 2011. This extension of date is for the Tax periods July & August 2011, and is applicable to all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary PR
 

Sep. 20, 2011

FBR extends date for filing of ST/FE Returns

The Federal Board of Revenue has extended the dates for filing of Sales Tax and Federal Excise Returns for the periods July & August, 2011.

In a letter issued here today, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date for filing of Sales Tax / Federal Excise Returns has been extended upto 26th September, 2011. This extension of date is for the Tax periods July & August 2011, and is applicable to all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.
 

Sep. 15, 2011
 

FBR extends Payment date for Taxes / Duty for all registered persons

The Federal Board of Revenue has extended the date for payment of Taxes / Duty for the Tax period August 2011.

In a letter issued here today, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date for payment of taxes / duty has been extended up to 20th September, 2011. This extension in date is for the tax period August 2011 and is applicable to all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary (PR)

Sep 12, 2011

Clarification regarding Payment of surcharge at 15% under section 4A of the Income Tax Ordinance 2011—levied vide Income Tax (Amendment) Ordinance 2011

The Federal Board of Revenue has announced that the 15@ surcharge under section 4A of the Income Tax Ordinance 2011 is payable by all tax payers of their tax liability for the Tax year 2011, irrespective of whether their tax year ends on 31st December 2010 or 30th June 2011 or any other date.

In a circular issued here today, the FBR has made certain clarifications to the 15% Surcharge under section 4A of the ordinance in view to address the queries being received by the Board suggesting multiple interpretations of this Section and to streamline the implementation of this time bound provision.

The circular further clarifies that the Tax Liability for the entire Tax Year 2011 may not be subjected to the imposition of surcharge and the same be levied on the proportionate liability for a period of three and a half month.

It may hence be noted again that the surcharge is to be computed @ 15% of the Income Tax payable for three months and a half on pro-rata basis and the tax liability inclusive of 15% surcharge so calculated is to be set off against the taxes withheld or collected in the tax year.

Mohammad Shahzad
Secretary PR
 

Sep 10, 2011

FBR extends date for filing of ST/FED Returns

The Federal Board of Revenue has extended the dates for filing of Sales Tax and Federal Excise duty Returns for the periods July & August, 2011. In a letter issued here, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date for filing of Sales Tax / Federal Excise Duty Returns has been extended upto 20th September, 2011. This extension of date is for the Tax periods July & August 2011, and is applicable to all registered persons. This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.
 

Riffat Shaheen Qazi
Member FATE / Official Spokesperson, FBR
 

Sep 05, 2011

FBR allows Special Exemption to Growers of Agricultural Produce, Incidental Expenses of Oil Tankers' and Steel Melters

The Federal Board of Revenue has allowed special Exemption to Growers of Agricultural Produce, Incidental Expenses of Oil Tankers' and Steel Melters through a circular issued here.
According to the Circular, the Clause (12) of Part-lV of Second Schedule to the Income Tax Ordinance 2001 (XLIX of 2001) has been substituted through SRO 787(I)/2Q11 dated 22ncl August 2011, in order to allow specific exemptions / Concessions in withholding tax deductible under clause (a) of sub-section (1) of section 153 to the following categories:
i)    On sales made by growers of agricultural produce;
ii)    On incidental expenses incurred by owners/contractors of oil tankers; and
iii)    On local purchase of scrap steel by steel melters.
Since the agricultural income as defined in Section 41 is exempt under the Ordinance, subjecting the growers to the withholding regime under section 153(1)(a) on sale of agricultural produce would have been an anomaly & unfair. Therefore, their sale receipts from agricultural produce have been exempted from withholding tax. The expenditure on purchase of agricultural produce from its grower has also been exempted from the applicability of clause (I) of section 21, which requires payment through crossed banking instruments / banking channel. The grower in order to avoid payment of withholding tax shall be required to provide a certificate to the person making payment directly to the growers as prescribed in the said notification.
In view of the peculiar characteristics of Cotton crop, it has been decided by the Board that the ginner purchasing cotton from the grower will be required to forward a copy of the certificate furnished by the grower to the concerned RTQ/LTU. The authenticity of the particulars provided in the said certificate may be verified by the relevant Inland Revenue authority within one year, and no question shall be asked from the ginners after lapse of one year after the date the certificate was received by such authority. The concerned RTOs/LTUs are required to set up a special cell for obtaining and processing the information/documents regarding transactions of agricultural produce. It will be the responsibility of the concerned Chief Commissioner to ensure that all the Commission Agents/traders of agricultural produce whose receipts have been subjected to withholding tax are borne on tax roll and filing their returns of income.
The provision of particulars as prescribed in the certificate about the measurement and identity of agricultural land is optional for the growers, and department shall not insist on this requirement.
The person purchasing agricultural produce through a commission agent shall be required to deduct advance tax @ 10% on the amount of commission paid to the agent and tax u/s 153(1)(a) shall not be deductible on such transactions. The grower making sales through such commission agent shall also not be required to furnish the prescribed certificate.
Exemption provided under sub-clause (a) of clause (12J of Part-IV of Second Schedule to the Ordinance, is not available to the traders of agricultural produce and withholding lax shall be deductible from them at the prescribed rates.
Payments made by the owners/ contractors of oil tankers for meeting necessary incidental trip expenses paid to crew of oil-tankers, have also been exempted from the provisions of clause (a) of sub-section (1) of section 153. However this exemption shall not be allowed to the owners of oil Tankers made under any other head of their business expenditure;
The rate of deduction withholding tax under clause (a) of sub-section (1) of section 153 has been reduced from 3.5% to 1%, in case of local purchases of scrap steel made by the steel melters who have opted for the Safes Tax Special Procedure Rules 2007 relating to steel melters, and are regularly filing returns under the said scheme. The benefit of this reduction in rate of tax cannot be allowed to those steel melters who are outside the ambit of Sales Tax Special Procedure Rules 2007, or who have failed to file Sales Tax Returns regularly.
 

Aug 27, 2011

RTO Islamabad extends facilitation of e-filing to the offices of Pak Secretariat, Islamabad

A Seminar in pursuance of FBR’s policy of Facilitation and Taxpayer’s Education was held on 25.08.2011 in Pak Secretariat, Islamabad regarding e-filing of returns and statements by a team of Regional Tax Office, Islamabad. The team was constituted by Ms. Seema Majid, Commissioner Inland Revenue on directions of Ms. Farida Amjad, Chief Commissioner Inland Revenue comprising of the following members:

1. Malik Muhammad Sarwar Inland Revenue Officer
2. Atiq ur Rehman Inland Revenue Officer
3. Muhammad Kashif Ahmed Inland Revenue Officer
4. Mujahid Naeem Member Dev. Team PRAL
5. Liaqat Ali Manager PRAL

The Seminar was attended by the DDO’s and Officers of Pak Secretariat. Technical input was given by Mr. Mujahid Naeem, (PRAL Representative) while questions and queries of the participants were answered comprehensively by the Officers of Regional Tax Office, Islamabad. It was elaborated that after considerable efforts made by the FBR, the E-filing of returns is now very simple and trouble-free. The participants particularly DDO’s and Officers of Pak Secretariat appreciated the simplified procedure of e-filing introduced by the FBR and facilitation efforts of Regional Tax Office, Islamabad.


Mohammad Shahzad
Secretary PR
 

Aug 26, 2011

FBR extends dates for payment of taxes / duty and filing of ST/FED returns

The Federal Board of Revenue has extended the dates for payment of taxes and Duty and for filing of Sales Tax and Federal Excise duty returns for the period July 2011.

In a letter issued here, the Inland Revenue Wing of the FBR has communicated to all Chief Commissioners of LTUs and RTOs that the date for payment of taxes / duty has been extended upto 30th August, 2011 while the date for filing of Sales Tax / Federal Excise Duty returns has been extended upto 10th September, 2011. This extension of date is for the Tax period July 2011, and is applicable to all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary PR

Aug 26, 2011

FBR extends dates for filing of Income Tax Returns / Statements for Tax year 2011.

The Federal Board of Revenue has extended the due dates for filing of Income Tax Returns for the tax year 2011.
In a notification issued here today, the Inland Revenue Wing of the FBR has announced the following extension in the dates:

i. For filing of Returns of Total Income / Statements of Final Taxation that were due on 31st of August 2011, the date has been extended upto 30th September, 2011.

ii. For filing of Returns of Total Income / Statements of Final Taxation that were due on 30th of September, 2011, the date has been extended upto 31st of October, 2011.

This extension has been given in exercise of the powers conferred under section 214A of the Income Tax Ordinance, 2011.

Mohammad Shahzad
Secretary PR

Aug 18, 2011

FBR EMPLOYEES’ REPRESENTATIVE GROUPS MEET MEMBERS’ ADMINISTRATIVE COMMITTEE

A special delegation of various Representative Groups of FBR employees comprising Mr. Rehmat Ali Tarar, Ch. Asif Iqbal Cheema, Saleem Tariq Butt, Shafqat Hussain Cheema, Ch. Akram, Arif Aziz and Malik Naseer called on the Members’ Administrative Committee today and discussed issues like de-freezing of Special Allowance. The delegation appreciated the efforts made by the Chairman FBR and his team to take up the matter of de-freezing Special Allowance with Finance Division and following it up vigorously. The delegation also stressed the need for dedicated efforts to resolve various issues being faced by FBR employees including up-gradation/promotions of various cadres and Bahawalpur issue. Members’ Administrative Committee assured the delegation to give due consideration to these issues.
 

Riffat Shaheen Qazi
Official Spokesperson
 

Aug 18, 2011

FBR EMPLOYEES’ AGITATING REPRESENTATIVE GROUP AGREED TO CALL OFF THE STRIKE

A meeting was convened today the 18th august 2011 at FBR H/Qs Islamabad between FBR’s Senior Management and the Representative Groups of agitating FBR employees comprising Mian Abdul Qayyum, Rashid shah, Munir Faizi, Muhammad Mateen Ullah, Amir Haider, Pervez Ahmed, Babar Khan, Shahraze Qaiser, Mian Aamer, Fazal-ur-Rehman, Ch. Muhammad Zafar Iqbal, Qasim Saleem, Mohammad Saeed and Mr. Toori. As a result of assurance from Senior Management that the necessary follow up of de-freezing of Special Allowance will be further pursued with Finance Division, the Representative Groups agreed to call off the strike.

The Senior Management assured that other issues like pending DPCs at the level of RTOs, MCCs and FBR, upgradation/promotion of Inspectors, Appraisers, Examiners, Stenographers, Naib Qasid, Daftari, Notice Server, Armed Guard, MCCs Office Superintendents, DEOs, DCOs, House Requisitioning, passing of Medical Bills, out of turn promotions of all Class-IV employees and Bahawalpur issue having higher qualifications will be considered on priority basis.

Riffat Shaheen Qazi
Official Spokesperson

Aug 18, 2011

RTO Rawalpindi arranges workshop on e-filing

FBR, Inland Revenue has directed all its field offices to arrange training workshops to educate the stakeholders about the e-filing system for filing of tax returns. This initiative is being undertaken in view of the upcoming deadlines for filing of tax returns by end of September.

A workshop on e-filing was held in this regard at Regional Tax Office Rawalpindi on 15th August, 2011 under the supervision of Mr. Shahid Anwar Khan, Chief Commissioner, RTO Rawalpindi and was attended by the representatives of Military & Civil Departments as well as Private Organizations. Mr. Farhan Baig, Manager PRAL practically demonstrated the whole procedure of e-filing to the participants. Questions & queries were replied by the senior management of RTO Rawalpindi who were present on the occasion.

In the end of the workshop, Mr. Shahid Anwar Khan, Chief Commissioner, Regional Tax Office, Rawalpindi thanked the participants for their zealous partaking in the holy month of Ramadan and said that is spirit is instrumental in improving the state of mutual trust between the taxpayers and tax collectors.
 

Mohammad Shahzad

Secretary PR

Aug 11, 2011

FBR extends dates for payment of taxes / duty and filing of ST/FED returns

The Federal Board of Revenue has extended the dates for payment of taxes and Duty and for filing of Sales Tax and Federal Excise duty returns.

In a notification issued here, the Inland Revenue Wing of the FBR has informed all Chief Commissioners of LTUs and RTOs that the date for payment of taxes / duty has been extended upto 20th August, 2011 while the date for filing of Sales Tax / Federal Excise Duty returns has been extended upto 30th August 2011. This extension of date is for the Tax period July 2011, and is applicable to all registered persons.

This extension has been given in exercise of the powers conferred under section 74 of the Sales Tax Act 1990 and section 43 of the Federal Excise Act 2005.

Mohammad Shahzad
Secretary PR

Aug 05, 2011

FBR Board-in-Council’s Progress review meeting on Monday

A meeting of the Board-in-Council of Federal Board of Revenue has been convened on Monday the 8th August, 2011 at the FBR House in Islamabad. The following will be the agenda of the meeting:

i) To review the Progress on BTB initiatives,

ii) The Delegation of powers to Members of FBR,

iii) Revenue generation strategy for all taxes,

iv) Cases of stuck up arrears in various courts,

v) Cases of illegal input adjustment of Sales Tax,

vi) Filing of representation against the orders of Federal Tax Ombudsman, and

vii) Improving of internal controlling accounting systems.

The meeting will be chaired by Mr. Salman Siddique, Secretary Revenue division / chairman FBR and to be attended by members of the Board, Additional Secretary Revenue division and relevant DGs.

Mohammad Shahzad
Secretary PR

Aug. 04, 2011

In the Current Financial Year FBR to focus on enforcement, Audit and Identifying new Tax Payers

A Chief Commissioner’s Conference was held under the Chair of Secretary Revenue Division on 4th August, 2011. It was decided in the meeting that the current financial year would focus on enforcement, audit and bringing new taxpayer in the Tax Net. In this context the following important decisions were taken:-

(i) Revenue estimation to be an interactive exercise involving the Chief Commissioners and the FBR beginning with the current financial year. The Chief Commissioner shall prepare their revenue estimates based on rate of inflation, rate of economic growth and their efforts in enforcement, demand creation, audits, and bringing new taxpayers in the net. These estimates shall be reviewed in the FBR headquarters and revenue estimates for the current financial year shall be finalized thereafter. Following other decisions were taken:-

I. Reporting mechanisms to be strengthened at Head Quarter level.

II. Maximum efforts would be directed towards collection of arrears.

III. The collection of withholding tax by withholding agents would be monitored and reported on a monthly basis.

IV. Broadening of tax base by bringing 700,000 new tax payers in the tax net would be accelerated and reviewed every month.

V. Technology shall be upgraded to eliminate illegal inputs and illegal refunds in the Sales Tax system.

VI. It was clarified that under the reformed structure of FBR, no separate post of Member Sales Tax was under consideration.

VII. Long due promotions in Inland Revenue Service (IRS) and Pakistan Customs Service (PCS) would be pursued with the Establishment Division and early convening of the Central Selection Board would be requested.

VIII. The delegation of powers of posting and transfers in FBR would be reviewed in a special meeting of Board-in-Council.

IX. Recommendations would be made to the Government to reform the cadre structure of IRS and PCS, so that promotion pyramid is balanced and positions are available at the highest grade (BS-22) to incentivize the two services.

The decision of the last Chief Commissioners meeting were reviewed by Member (IR). A committee was constituted to initiate work force rationalization and resolve jurisdiction issues of LTUs/RTOs. This committee shall comprise Member (IR), DG(HR), Mr. Nadeem Dar and Mr. Iqbal, Chief Commissioner. All Chief Commissioners were directed to prepare themselves soundly for attending the audit paras and attending to PAC observations with respect and competence. Post refund audit for improvement of ERS would be initiated in FBR. Training in post-refund audit shall also be strengthened. Data warehouse shall be developed in FBR for improving enforcement and audit on a scientific basis.
 

Mohammad Shahzad
Secretary PR

July 30, 2011

The 4th Chief Commissioners'Conference of Federal Board of Revenue

The 4th Chief Commissioners’ Conference of Federal Board of Revenue, field offices, will be held on Thursday, the 4th August, 2011, at 9.30 AM, to discuss plans for Revenue collection for FY. 2011-12. (Reference circular No. 7(4)S-IR-Coord/2011.Pt, Dated 30th July 2011)

Riffat Shaheen Qazi
Member(FATE), FBR Spokesperson

 

July 16, 2011

FBR extends date for payment of Taxes/Duty and Filling of Sales Tax/FED returns for the period June 2011 for persons registered in RTO, Hyderabad

FBR has extended date for payment of taxes/duty and filling of Sales Tax/FED returns up to 22nd July for the period June 2011, for persons registered in RTO, Hyderabad. The decision has been taken to facilitate the tax payers who could not pay taxes or file Sales Tax/FED returns due to law and order situation.
 

Riffat Shaheen Qazi
Official Spokesperson

FBR extends date for payment of taxes/duty and filling of Sales Tax/FED returns for the period June 2011 for persons registered in LTU/RTOs, Karachi

FBR has extended date for payment of taxes/duty and filling of Sales Tax/FED returns up to 22nd July for the period June 2011, for persons registered in LTU/RTOs, Karachi. The decision has been taken to facilitate the tax payers who could not pay taxes or file sales tax/FED returns due to law and order situation in Karachi.
 

July 08, 2011

Chairman FBR visits Karachi to hold meetings with trade bodies

Chairman FBR, Mr. Salman Siddique, will be visiting Karachi from 9th to 10th July 2011 to hold meeting with Federation of Pakistan Chamber of Commerce and Industry, Karachi Chamber of Commerce as well as other trade bodies. This two day consecutive meeting is focused on improving the Sales Tax system and resolving the issues relating to zero rated export sectors and also issues relating to import of machinery. This consultative process will also be focused on finding solutions to the problems and issues linked with the revenue collection.

Syeda Naureen Zahra
Secretary (PR)

 

July 08, 2011

Customs Intelligence seized 656 Million worth of heroin and opium

Customs Intelligence, in two separate operations, recovered and seized 8kg heroin and 84 kg opium valued at Rs 4.7 million and Rs.11.04 million respectively, including the vehicles.

In pursuance of specific information that an attempt would be made to smuggle foreign origin heroin from Khyber agency to Punjab via Motorway (M-1) and ultimately abroad, on 04.07.2011 customs officials mounted surveillance near Peshawar Toll Plaza, M-1. At about 1400 hours, the suspected Toyota Corolla Car bearing registration No. ACJ-697 (Sindh) coming from Peshawar side was stopped. On cursory checking presence of drugs was detected in the car. The driver of the car namely Muhammad Ashraf S/O Ahmed Gul R/O Sheikh Mal Khel, Landi Kotal, Khyber Agency was taken into custody and the car was brought to I&I, Regional Office, Peshawar. Detailed search of the car led to the recovery of 08kgs heroin concealed in the secret cavity specially designed for the purpose. The heroin and the vehicle valued at Rs: 4.7 million have been seized under the customs Act, 1969 and the CNSA, 1997. FIR No.46, dated 4.07.2011 has been lodged and further investigation is in progress.

In another operation on 06-07-2011 at about 1100 hours, customs officials intercepted a suspected Nissan Trailer bearing Rg.No.AE-1445 (Hyderabad) on G.T. Road, Chamkani, coming from Peshawar side. Cursory checking revealed presence of drugs in the vehicle. The driver of the trailer namely Naeem Abbasi S/O Muhammad Younas Khan R/O Azad Kashmir was taken into custody and the trailer mounted with 40 feet empty container was brought to I&I, Regional Office, Peshawar. Detailed search of the trailer led to recovery of 84kgs opium concealed in the secret cavity made behind the driver’s cabin. The opium and the vehicle valued at Rs. 11,040,000/- have been seized under the customs Act, 1969 and CNSA, 1997. FIR has been lodged and further investigation is in progress.
International market value of heroin ad opium seized is estimated at Rs: 320 million and Rs.336 million respectively.

Syeda Naureen Zahra
Secretary (PR)

 

July 06, 2011

FBR’s Clarification
 

July 01, 2011

Progress in Broadening of Tax Base upto 30-6-2011

As a result of FBR’s current drive for Broadening of tax base, 26,740 new returns have been filed during the year ending on 30-6-2011 from which Rs. 356 million tax has been recovered. Further more, 17,134 provisional assessments under section 122C of Income Tax Ordinance 2001 have been made, from which tax demand of Rs. 5,804 has been created.

Directorate General of Intelligence and Investigation (Inland Revenue) also conducted audit of collection of withholding tax by various banks. As a result of this audit, Rs. 4,253 million has been recovered and deposited at LTU, Karachi.

FBR has shown its clear resolve to continue its efforts for expansion of tax base. Also, in future there would be no relaxation in such drive for audit and reconciliation of tax with held by withholding agents.

Durr-e-Maknoon
Second Secretary

 

July 01, 2011

FBR withdraws FED to the Sales Tax on services receivable by the provinces to avoid double taxation.
 

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