Jun 20, 2019 Final Preparations Underway to Implement Benami Laws

The Benami Transactions (Prohibition) Act, 2017 has become operative since March, 2019. Federal Board of Revenue is the focal authority under this Act. The matter of proper implementation of Benami Transactions (Prohibition) Act, 2017 will be monitored by the Chairman.

Administrative structure has been set up to implement the Benaami Act-2017. In this regard, an Adjudicating Authority is being formed and Benaami Zones are being established  which will become effective very soon. Initially Benaami Zones will be established in three big stations Karachi, Lahore and Islamabad.

A person can avail Assets Declaration Ordinance- 2019 before 30th June if he has not declared the Benaami properties yet. In case of non-compliance, he will be held accountable under Banaami Act-2017.

Ms. Nausheen Javaid Amjad, Member Taxpayers Audit, FBR (HQ), Islamabad is the National Coordinator for implementation of Benami Transactions (Prohibition) Act, 2017.

بے نامی قوانین کے عملدرآمد کے لئے حتمی انتظامات

بے نامی ایکٹ  دو ہزار سترہ  مارچ       دوہزار انیس     سے نافزالعمل ہو چکا ہے۔ فیڈرل بورڈ آف ریونیو بے نامی ایکٹ کے نفاز کی ذم دارہے۔ بے نامی ایکٹ کے تحت چئرمین ایف بی آر ایکٹ کے عملدرآمد کو یقینی بنانے کے ذم دار ہیں۔

بے نامی قوانین کے عملدرآمد کے لئے انتظامی ڈھانچہ تیار ہو گیا ہے۔ اس حوالے سے انتظامی اتھارٹی تشکیل دی جا رہی ہے اور بے نامی زونز کا قیام عمل میں لایا جا رہا ہے اور عنقریب موئثر ہو جائے گا۔ ابتدائی مراحل میں بے نامی زونز تین بڑے سٹیشنز کراچی، لاہور اور اسلام آباد میں شروع کئے جا رہے ہیں۔

اگر کسی نے بے نامی جائیداد کو ابھی تک ظاہر نہیں کیا تو ایسیٹس ڈیکلیریشن آرڈینینس دو ہزار انیس  کے تحت جائیداد ظاہر کر سکتا ہے۔ بصورت دیگر بے نامی ایکٹ اس پر لاگو ہو گا

اس سلسلے میں مس نوشین امجد جاوید ممبر ٹیکس پئر آڈٹ ایف بی آر بے نامی ایکٹ کے نفاذ کے لئے نیشنل کو آرڈینیٹر نامزد ہوئی نیں۔


 

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 19, 2019 Government to Remove Trust Deficit Between Taxpayer and Tax Department
The Assets Declaration Scheme 2019 will expire on June 30, 2019. It is reiterated that all persons having un-disclosed and un-declared assets and un-disclosed expenditure are strongly advised to avail the Scheme.
2. During the deliberations on the Scheme it has been observed that one of the major apprehensions of the taxpayers relates to the track record of working relationship between the taxpayers and the tax departments. It is admitted that same at present does not comply with international best practices. It is apprehended that the same kind and manner of relationship which is at time undesirable, will continue in future. The purpose of this release is to dispel that apprehension.
3. In this connection it is stated that the primary objective of the Government is to improve confidence/trust level between the taxpayer and the tax department. For that purpose some steps have already been undertaken which have been duly appreciated by the taxpayers. However, major corrective actions will be taken from July 1, 2019. Tone and purpose (for the same) have been identified in the Finance Bill 2019 and others will be disseminated in the procedures, circulars and the administrative reforms which will be made in the Federal Board of Revenue post-July 1, 2019.  The primary theme of these actions is:
a) Automation of business process
b) Lack of personal interaction
c) Minimal possibility of abuse of powers and discretion by the tax authority
 
4. In this process the first step being ‘Return Filing' and the 'Sales Tax Registration',  being automated without any personal intervention/interaction. 
5. In the Finance Bill, 2019 it has been ensured that the functions of 'Audit' which should an exception on risk-based criterion, and not a norm, shall be undertaken by a person different from the persons involved in enforcement. Accordingly, the process of audit and enforcement will be segregated in due course. This is a major redressal
6. Furthermore detailed explanatory circulars will be issued that there should not be any possibility of abuse of section 122(5A) of the Income Tax Ordinance, 2001 and any other similar provisions in the relevant statutes. It is also being ensured that first appeal stage be completely divorced from enforcement function.
7. Furthermore, the Government is fully committed to ensure the concept of 'Self Assessment Procedure' in the true spirit and relevant steps are being undertaken to ensure that there is no possibility of harassment of the taxpayers. It is reiterated that the primary objective of the Government is to create the confidence/trust amongst the honorable taxpayers. It will be ensured that same actions materialize and concrete visible results are apparent. 
8. On the other side, in the past tax efforts of the tax department were concentrated on the 'Information Furnished' by the taxpayers and there was not sufficient/independent ‘Data/Information' of the economic transactions undertaken available with the Government. The Government is  concentrating its efforts to  gather relevant information and is trying to further accelerate the process of gathering the data / information of the economic transactions including those being transactions in banking channels, electricity and gas connections, land records and other consumption data  relating to expenses  on travel, children education etc.  as recorded in  NADRA etc. and any other possible means in accordance with the international best practices. In these circumstances it will be difficult, rather impossible, for any person to undertake the economic transactions which remains outside the purview of  fiscal/financial system of the country. 
9. In these circumstance it is reiterated that any mis-apprehension about the manner of the operations of FBR in post July 1, 2019 and the availability of data with the Government be dispelled with.
10. The Assets Declaration Scheme 2019 which is simple to be availed in order to live in a peaceful, comfortable, and a civilized manner for the betterment of Pakistan. It is considered that the context of the aforesaid paragraphs will be considered with respect to the decision for declaration under the Scheme to be made by June 30, 2019. 
 
 
Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 18, 2019 Chairman FBR Constitutes Anomaly Committee-Technical to Remove Anomalies in the Finance Bill-2019

The Chairman, Federal Board of Revenue (FBR) has constituted an Anomaly Committee in order to identify and remove the technical and legal anomalies in the Finance Bill 2019. The committee will be chaired by Mr. Ashfaq Tola whereas the Co-Chairman of the Committee will be Dr. Hamid Ateeq Sarwar, Member (IR-Policy), FBR. The other members of the Committee are Mr. Abid Shaban, Mr. Zia Awan, Mr. Muhammad Awais, Mr. Asif Haroon, Mr. Abdul Qadir Memon, Mr. Amer Javed, Mr. Iftikhar Taj and Mr. Muhammad Rafique.

The TORs of the Committee will be to review the identified and submitted anomalies and to advise FBR on removal of anomalies. Technical and legal Anomalies can be submitted on or before close of office hours on Friday June 21, 2019 to the Co-Chairman, Anomaly Committee-Technical in his office at Room No. 355, 3rd Floor, FBR House, Islamabad. The Committee can also be reached at the e-mail ‘hamidateeq@gmail.com’.

فنانس بل دو ہزار انیس میں موجود قانونی اور تکنیکی سقم دور کرنے کے لئے کمیٹی تشکیل

چیئرمین ایف بی آر سید شبر زیدی نے فنانس بل دو ہزار انیس میں موجود قانونی اور تکنیکی سقم کی نشاندہی اور ان کو دور کرنے کے لئے تصحیحی کمیٹی تشکیل دے دی ہے۔ کمیٹی کے چیئرمین جناب اشفاق تولہ صاحب ہوں گے جبکہ شریک چئرمین ممبر آئی آر پالیسی ایف بی آر جناب حامد عتیق سرور صاحب ہوں گے۔ دیگر ممبران کمیٹی میں جناب عابد شعبان، ضیا اعوان، محمد اویس، آصف ہارون، عبدل قادر میمن، عامر جاوید، افتخار تاج اور محمد رفیق شامل ہیں۔

کمیٹی کے ٹی او آرز میں نشاندہی ہونے والی قانونی اور تکنیکی کمی کو ازسرنو پرکھنا اور ایف بی آر کو تصحیح کے لئے مشورہ دینا ہے۔ تکنیکی اور قانونی سقم کی نشاندہی کر کے اس کی اطلاع اکیس جون دو ہزار انیس 

تک دفتری اوقات میں کمیٹی شریک چئرمین جناب حامد عتیق سرور کے دفتر ایف بی آرہییڈ کوارٹرکمرہ نمبر 355 تھرڈ فلورپربھی  دی جا سکتی ہے یا ان کے ای میل

پر بھی رابطہ کیا جا سکتا ہے۔ hamidateeq@gmail.com

 

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 14, 2019 FBR Takes Action Against Over and Under Invoicing of Export Items

The Chairman FBR, Mr. Shabbar Zaidi has directed to identify the extent of mis-invoicing in export declarations in order to ascertain the suspected items or sectors and destinations for such mis-declaration, and to categorize exporters on the basis of risk profiling by segregating compliant exporters from those engaged in mis-invoicing.

Accordingly the Customs Operations wing has tasked the Director General Customs Valuation to submit a report in this regard.  It has been further directed to develop a risk based system to intercept this trend without compromising export facilitation. Punitive action shall be taken against unscrupulous exporters under the proposed Section 32 C of the Customs Act. 1969 and the allied laws.

This initiative has arisen in the backdrop of reports indicating mis-invoicing in exports, which includes under-invoicing resulting in loss of remittance of forex and over-invoicing used to transfer excessive funds abroad. Mis-invoicing could be used also possibly as a mechanism for trade-based money laundering. One of the suspected methods used in under-invoicing in exports is through the medium of via port cargo. Export cargoes are mis-declared by under-invoicing the values of export commodities, and shipped to a via port wherein new declaration with actual values are re-shipped for a final destination. As a consequence, lesser amount of foreign exchange is remitted to Pakistan and a major portion of export proceeds is retained in the other country.

برآمدی اشیا کی انوائیس میں ردوبدل کرنے والوں کے خلاف کاروائی کا فیصلہ

چیئرمین ایف بی آر سید شبر زیدی نے ہدایات جاری کی ہیں کہ برآمدی اشیا کی انوائس میں ردوبدل

اور جعل سازی کرنے والوں کی نشاندہی کی جائے اور تمام برآمدی اشیا کی تفصیلات مرتب کی جائیں۔ اس بات کا تعین کیا جائے کہ کون سے برآمدکنندگان انوائس میں ردوبدل کرتے ہیں اور کون ٹھیک انوائیسنگ کرتے ہیں۔

کسٹمز آپریشنز نے ڈائریکٹر جنرل کسٹمز ویلیو ایشن کو ہدایات جاری کردی ہیں کہ وہ اس سلسلے میں رپورٹ تیار کریں۔ چیئرمین ایف بی آر نے مزید ہدایات دیتے ہوئے کہ رسک پر مبنی نظام وضع کریں اور اس امر کو یقنی بنایئں کہ ان اقدامات سے حکومت کی طرف سے دی جانے والی برآمدی سہولیات متاثر نہ ہوں۔ قانونی تقاضے پورے نہ کرنے والے اور غلط انوائیسنگ کو استعمال کرنے والے برآمدکنندگان کے خلاف کسٹمز ایکٹ انیس سو انہتر کے سیکشن بتیس سی اور ان سے منسلکہ قوانین کے تحت سخت قانونی کاروائی عمل میں لائی جائے گی۔

یہ اقدامات برآمدکنندگان کی طرف سے غلط انوائیسنگ اور انڈر انوائیسنگ کی نشاندہی پر لئے جا رہے ہیں۔ انڈر انوائیسنگ کی بدولت غیر ملکی ترسیلات میں کمی واقع ہوتی ہے جس سے معیشت کو نقصان پہنچتا ہے۔ اوور انوائیسنگ کی بدولت پیسہ ملک سے باہر منتقل کیا جاتا ہے اور منی لانڈرنگ کو ترویج ملتی ہے۔

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 13, 2019 FBR advises people to declare their Undisclosed Assets & Expenditures before June 30
FBR reiterates that the closing date for Assets Declaration Scheme is 30th June, 2019. Therefore, it is advised to the persons intending to avail this scheme to ensure that the following reliable data relating to undeclared and undisclosed assets and expenditure is available with FBR:
a) Data of industrial and commercial gas and electricity consumers from various DISCOs and gas distribution companies has been procured to identify the persons who are chargeable to tax but have not been paying their due taxes.
b) That there is complete cooperation between the banks and the FBR on the availability of data relating to withholding taxes and other relevant information especially related to non-filers.
c) That FBR in collaboration with NADRA is providing access to the concerned persons (confidentially) for the transactions undertaken in the past in order to let the people know the transactions undertaken by them. This data will be available through secure channels from NADRA on demand subject to certain fee.
d) That it is planned that bearer certificates such as bearer prize bonds will be converted into registered prize bonds over a period of time as specified by the State Bank of Pakistan in coming months.
e) FBR is in contact with the land record authorities and relevant District Collectors with regard to shops and establishments for identifying the business establishments within their respective areas.
f) That administrative setup is being placed for operation of the Benami Law and it is expected to be fully operational from July 1, 2019.
 
In the light of the aforesaid points, it is advised that the concessions and benefits laid down in the Scheme be availed. Furthermore in the Finance Bill 2019 it has been further reassured that no proceedings will be initiated against persons who declare their assets under the Assets Declaration Scheme and complete confidentiality shall be maintained with respect to assets declared in this Scheme.
 
Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 11, 2019 Non-Filers Not Allowed to Buy Immovable Property or Cars in Finance Bill-2019

Federal Board of Revenue (FBR) has strongly refuted the news appearing in some sections of press which states that the new Finance Bill has allowed the non-filers to purchase immovable property or cars. The actual position is that the whole system of recognizing a non filer as a legal entity has been done away with in the new Finance Bill.

FBR has explained that under Income Tax Ordinance, every person earning taxable income ought to file his Income Tax Returns. In case of failure of filing of Returns by persons involved in significant monetary transactions, a complete mechanism has been provided in the newly inserted 10th Schedule. such persons will not only have to pay 100% more tax at Withholding stage but will also be automatically assessed to tax and his imputable income will be treated as concealed income liable to penalties and prosecution.

پریس میں آنے والی خبروں کی تردید کرتے ہوئے فیڈرل بورڈ آف ریونیو نے وضاحت کی ہے کہ نان فائلرز کو نئے فنانس بل میں غیر منقولہ جائیداد اور گاڑی کی خرید پر کوئی چھوٹ نہیں دی گئی ۔ حقیقت یہ ہے کہ نئے فنانس بل میں نان فائلرز کی قانونی حیثیت کو ہی ختم کر دیا گیا ہے ۔ تمام افراد کو انکم ٹیکس آرڈینینس کے تحت اپنی ٹیکس ایبل انکم کے گوشوارے جمع کرانے ہوتے ہیں ۔ کسی بھی بڑی مالی ٹرانزیکشن پر گوشوارے داخل نہ کرنے کی صورت میں مکمل طریقہ کار دسویں شیڈول کے تحت وضع کیا گیا ہے ۔ ایسے افراد کو نہ صرف ودہولڈنگ سٹیج پر سو فیصد زیادہ ٹیکس دینا پڑے گا بلکہ خود کار طریقہ سے ٹیکس کے تعین کے بعدچھپائی گئی آمدن پر جرمانہ اور سزا بھی لاگو ہو گی ۔

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

Jun 05, 2019 Last Chance to File Income Tax Returns Under Assets Declaration Ordinance-2019

Federal Board of Revenue (FBR) has clarified that all individuals and the people associated with businesses who have not yet filed their Income Tax Returns due to any reason, can file their Returns now under Assets Declaration Ordinance-2019. This Ordinance provides one last chance to them to file Income Tax Returns.

FBR has further explained that all government institutions including the commercial banks are extending their full cooperation. FBR is appreciative of their cooperation

ایسیٹ ڈیکریشن آرڈینینس کے تحت آمدنی کے گوشوارے جمع کرانے کا آخری موقع

فیڈرل بورڈ آف ریونیو نے وضاحت کی ہے کہ تمام ادارے بشمول کمرشل بینکز ایف بی آر سے ہر ممکن مدد کر رہے ہیں ۔ ایف بی آر ان کی معاونت پر ان کا شکرگزار ہے ۔ ایف بی آر نے مزید وضاحت کی ہے کہ تمام افراد اور کاروبار سے منسلک افراد جنہوں نے ابھی تک آمدنی کے گوشوارے جمع نہیں کرائے وہ ایسیٹ ڈکلیریشن آرڈینینس کے تحت آمدنی کے گوشوارے جمع کراسکتے ہیں ۔ ایسیٹ ڈکلیریشن آرڈینینس ایسے تمام افراد کو آخری موقع فراہم کر رہا ہے ۔

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 31, 2019 FBR's appeal to the people to refrain from using smuggled products

Federal Board of Revenue (FBR) has appealed the people to refrain from using smuggled items which adversely affect the selling and buying of local products. This trend of buying smuggled items is negatively impacting the economy of the country.

Moreover, people must develop the habit of asking receipt from the retailer or a shop keeper whenever they buy any product. Particularly, a bill must always be demanded after visiting a restaurant or any food outlet.

Federal Board of Pakistan has clarified that inculcating these habits will help boost the economy and will bring documentation of undocumented economy. FBR has appealed the people to play a nation building role and show a true patriotic zeal.

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 30, 2019 CFOs of All Commercial Banks assures complete cooperation to Chairman FBR

All the Chief Financial Officers of Commercial Banks held a meeting with Chairman Federal Board of Revenue Syed Muhammad Shabbar Zaidi at FBR Headquarters.

The participants of Commercial Banks included Chief Financial Officers of Allied Bank, United Bank, Habib Bank and others. They assured their full cooperation to the Chairman FBR and welcomed his appointment as Chairman FBR.

The Chairman FBR thanked the Chief Financial Officers. 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 30, 2019 Seizure of Smuggled Goods has Registered an Increase of 20% for the Period July-April 2018-19

The value of seizures of smuggled goods has registered an increase of 20% for the period July-April 2018-19 when compared to figures of corresponding period of previous year due to the stringent enforcement measures of Pakistan Customs against smuggling.

Pakistan customs mobile squads is monitoring the major entry points/smuggling routes in the country, besides the information based joint operations carried out by Pakistan Customs with the assistance of Law Enforcement Agencies for seizure of smuggled goods.

It is also responsibility of the business community to discourage the sale and purchase of smuggled goods since smuggling is incorrect legally, socially and culturally. Accordingly, Chairman FBR Syed Muhammad Shabbar Zaidi has urged the traders to refrain from dealing in smuggled goods and contribute positively to the government’s initiative to revive the economy.

Meanwhile Customs Field Formations across the Country have embarked upon constituting special teams to seize smuggled goods wherever found.

جولائی اپریل 19۔2018 میں اسمگلنگ اشیا کی روک تھام میں 20 فیصد کمی

پاکستان کسٹمز کے موثر اقدامات کی بدولت جولائی اپریل 19۔2018 میں اسمگلنگ اشیا کی روک تھام میں سابقہ سال کے مقابلے میں 20 فیصد کمی واقع ہوئی ہے۔

پاکستان کسٹمز کے موبائل سکواڈ پوری تندہی سے تمام داخلی اور خارجی پوائنٹس پردوسرے قانون نافز کرنے والے اداروں کی مدد سے اسمگلنگ کی روک تھام کویقینی بنائے ہوئے ہیں۔

کاروباری کمیونٹی کی بھی زمہ داری ہے کہ کہ وہ اسمگل شدہ اشیا کی خریدوفروخت نہ کریں۔ اس سلسلے میں چیئرمین ایف بی آر سید محمد شبر زیدی نے بھی تاجر برادری کو اسمگل شدہ اشیا کی خریدوفروخت سے اجتناب پر اصرار کیا ہے تاکہ ملکی معیشت بہتر ہو۔

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 29, 2019 National Single Window (NSW) is a step towards introducing e-governance in the country

Mr. Syed Muhammad Shabbar Zaidi, the Chairman Federal Board of Revenue, along with his team updated a gathering of representatives from media and development partners in a local hotel in Islamabad on the progress being made on trade facilitation particularly on one of government’s key reform program - the implementation of  trade related National Single Window.

Pakistan Custom is the lead agency for NSW implementation under the supervision of a high level Steering Committee currently chaired by the Adviser on Finance, Revenue and Economic Affairs. The NSW is a quantum jump from the current silo and paper based management of Pakistan’s external trade involving 44 different government departments responsible to regulate different aspects of imports, exports and transit trade. The current system being inefficient and opaque creates complications for traders and economic operators leading to increased costs and delays as well as lax government’s controls in carrying out cross border trade. As per World Bank’s report on ease of doing business the business community in Pakistan incurred more than 400 million USD extra cost as compared to the average cost for imports and exports in South Asia region, during the last one year. As a result competitiveness of Pakistan to facilitate trade, attract investment, get integrated into global value chains and be a regional hub for trade and transit is seriously undermined.    

The good news is that as the leading agency for NSW implementation, Pakistan Customs has not only made substantial progress on NSW implementation but is also successfully improving cross border trade facilitation. Talking to the gathering Dr. Jawwad Uwais Agha, Member Customs Operations informed that Pakistan’s global ranking under cross border trade related indicator of World Bank’s ease of doing business Survey for 2019 has improved by 29 positions due to efforts of Pakistan Customs. He informed that the indigenously developed Customs Single Window has already been implemented in the shape of WeBOC, which handles 90% of Pakistan’s external trade providing 24/7 paperless processing services. The upgraded version as WeBOC-Glo is presently being rolled out. He informed that Customs collects 48% of FBR’s total revenue; however, its role is undergoing a paradigm shift from a mere revenue collection and enforcement agency towards the lead facilitator of cross border trade. Being responsible for implementation of numerous measures under WTO’s Trade Facilitation Agreement, Pakistan Customs is leading the public sector in automation. Under its INTRA initiative, Customs successfully partnered with 14 government departments and ministries in linking them with WeBOC-Glo improving controls and efficiency. The introduction of electronic I, E forms, E-payment in collaboration with SBP for trade as well as the Currency Declaration System and Advance Passenger Information System for airports by Customs has improved compliance with FATF related requirements. He emphasized that NSW is a very complex undertaking and would require continued political support as well as cooperation from concerned government departments and development partners to succeed. 

The Project Director made detailed presentation informing that with technical assistance from development partners specifically USAID, IFC and ADB Customs has achieved important milestones in the NSW project in a short period of one and a half year. The business model for execution and operations as well as alignment of participating departments has been approved by the Steering Committee in April, 2019. The draft legislation for NSW has been prepared while the functional, revenue and technical models are expected to be finalized by June, 2019. Though government has allocated funds in the upcoming PSDP, however, Customs is currently providing funds from its GD service fee to fast track the NSW implementation.  If current pace continues the new system is expected to become operational much earlier than the deadline of 2022. The program is also expected to be completed below its initial cost estimation of USD 163 million by relying on indigenous resources. Once fully implemented, the NSW will eliminate need for physical engagement between the traders and regulators besides simplifying the procedures and improving predictability. It will facilitate electronic submission, risk based parallel processing and issuance of regulatory approvals relying on data/process harmonization while using modern technology. The port community system will help transform the logistics side of external trade. In addition to B2G interactions, the NSW will strengthen and reinforce B2B, and G2G relationship.

The Chairman FBR stated that NSW and other automation related initiatives by Customs are the manifestation of the government’s commitment to reform and modernize. He also emphasized that with continued support from the government and the development partners particularly the USAID, ADB, the World Bank Group, and UK’s Department for International Development, the FBR is confident of meeting its reform objectives.

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 29, 2019 LTUs/CRTOs/RTOs of FBR to Remain Open on 31st May Till 6 Evening

Federal Board of Revenue (FBR) has issued instructions to all Large Taxpayer Units (LTUs), Corporate Regional Tax Offices (CRTOs) and Regional Tax Offices (RTOs) to open their offices on 31st May, 2019 and extend working hours till 06:00 PM on Friday to facilitate the taxpayers in payment of duties/taxes and filing of income tax returns/statements.

ایف بی آر کے زیلی اداروں کا 31 مئی شام 6 بجے تک دفاتر کھولے رکھنے کا اعلان

فیڈرل بورڈ آف ریونیو نے ٹیکس گزاروں کی سہولت کو مد نظر رکھتے ہوئے تمام لارج ٹیکس پیئر یونٹس، کارپوریٹ ریجنل ٹیکس آفسز اور ریجنل ٹیکس آفسز کو ہدایات جاری کی ہیں کہ وہ 31 مئی کو دفاتر شام 6 بجے تک کھلے رکھیں تاکہ زیادہ سے زیادو لوگ ٹیکس گوشوارے اور ٹیکسز ادا کر سکیں۔

 

Mr. Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 27, 2019 Custom House to Allow Entry to Only Authorized Trade Representatives & Members

Mr. Syed Muhammad Shabbar Zaidi, the Chairman FBR, while taking notice of presence of large number of visitors has ordered Customs Wing to strictly restrict, entry into Customs Houses, only to the concerned traders, their authorized representatives and members of relevant trade bodies/associations. Accordingly Customs Wing is in the process of issuing instructions to its field formations for immediately restricting entry of all un-authorized persons. The visiting hours for traders and their authorized representatives for fulfillment of needed legal formalities in cases involving second review before Assistant / Deputy Collectors shall be limited from 10 am to 1 pm.

Pakistan Customs is operating its Web Based One Customs (WeBOC) system in order to facilitate the trade and provide ease of doing business in carrying out imports, exports and transit trade. This system is available 24/7 and allows on-line submission and processing of documents as well as electronic payments of duty and taxes. As such the need for traders and their representatives to physically visit offices of Customs has drastically been reduced.  

 

چئیرمین ایف بی آر سید شبر زیدی کی ہدایات کی تعمیل میں فیصلہ کیا گیا ہے کہ کسٹم ہاوس میں صرف متعلقہ تجارتی نمائندگان اور تجارتی ممبرز کو داخلے کی اجازت دی جاے۔ اس سلسلے میں ہدایات تمام فیلڈ فارمیشنز کو بھی جاری کی جا رہی ہیں کہ وہ غیر متعلقہ افراد کے داخلے کو روکے۔ اسسٹنٹ کلیکٹرز اور ڈپٹی کلیکٹرز کو دوسرے ریویو کے لئے کی گئی درخواستوں کے لئے ملاقات کے اوقات کم کرکے 10 بجے سے 1 بجے تک کر دیئے گئے ہیں۔

پاکستان کسٹم وی بوک نظام کے زریعے تجارت اور تجارتی آسانی جیسا کہ درآمد برآمد اور ٹرانزٹ ٹریڈ کو فروغ دے رہا ہے۔ یہ نظام چوبیس گھنٹے دستیاب ہے جس کے زریعے آن لائن طریقے سے ٹیکسز اور ڈیوٹیز پراسس کی جاتی ہیں۔ ان تمام اقدامات سے تاجر حضرات کو کسٹم آفسسز میں پہلے کی طرح بار بار آنے کی ضرورت محسوس نہیں ہوتی۔

 

Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 23, 2019 Pakistan and Bulgaria signs the Convention for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to taxes on income

Pakistan and Bulgaria on Tuesday May 21, 2019 signed the Convention for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to taxes on income. The agreement was signed at the sideline of the Second Session of Pakistan–Bulgaria Inter-Governmental Commission (IGC) which concluded on Tuesday.

The Convention was signed by Dr. Muhammad Ashfaq Ahmed, Director General International Taxes, FBR, and Ms. Liliya Ivanova, Deputy Minister of Economy, Republic of Bulgaria on behalf of their respective governments.

The Convention will not only provide safeguards against double taxation on the income of the residents of both the contracting states but will also promote economic cooperation, bilateral investment and will further enhance the existing bilateral economic relations between the two states. The Convention will provide adequate certainty in respect of taxation rules applicable to cross-border business transactions, dividends, interests, royalties and fees for technical services etc.

The Convention shall enter into force after the completion of the procedures required under the domestic laws of both the contracting states and shall enter into force on the date of the later of these notifications. 

 

Fida Muhammad
Secretary Tax Treaties & Conventions

May 22, 2019 Ambassador of China Appreciates the Steps Taken by FBR

The Ambassador of China in Pakistan Mr. Yao Jing called on Chairman Federal Board of Revenue Syed Muhammad Shabbar Zaidi at FBR Headquarter. The Chinese Ambassador appreciated the steps taken by FBR to facilitate the tax payers particularly the steps to redress the grievances of taxpayers. The Ambassador also welcomed the appointment of Syed Shabbar Zaidi as Chairman FBR and hoped that under his command the FBR would be able to devise a strategy to achieve its targets in the long run. The Ambassador of China further said that State Taxation Administration of the People’s Republic of China which is a revenue collecting authority in China would be willing to cooperate with FBR which would enable both the departments to learn each other’s best practices for mutual benefit.

چینی سفیر کی ایف بی آر اقدامات کی تعریف

چینی سفیر جناب یائوچنگ نے چیئرمین ایف بی آر سید محمد شبر زیدی سے ایف بی آر ھیڈ کوارٹر میں ملاقات کی۔ چینی سفیر نے ایف بی آر کی طرف سے ٹیکس گزاروں کی سہولت اور خاص طور پران کی شکایات دور کرنے پر لئے گئے اقدامات کو سراہا۔ چینی سفیر نے شبر زیدی کی بطور چئر مین ایف بی آر تعیناتی کو خوش آئند کہا اور امید ظاہر کی کہ ان کی کمان میں ایف بی آر اپنے تمام اہداف کو بخوبی پورا کر لے گا۔

چینی سفیر نے مزید اس امید کا اظہار کیا کہ چینی ریونیو اتھارٹی اور ایف بی آر کے اشتراک سے دونوں ادارے ایک دوسرے کے کامیاب تجربات سے فائدہ اٹھا سکتے ہیں۔

 

 

 

 

Mr. Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 22, 2019 Country Director World Bank Pakistan Called on Chairman FBR

The Country Director World Bank Pakistan Mr. Patchamuthu Illangovan (Illango) called on Chairman Federal Board of Revenue Syed Muhammad Shabbar Zaidi at FBR Headquarters. The World Bank Country Director appreciated the steps taken by FBR to facilitate the tax payers particularly the steps to redress the grievances of taxpayers. The World Bank Country Director welcomed the appointment of Syed Shabbar Zaidi as Chairman FBR and hoped that under his command the FBR would be able to devise a strategy to achieve its targets in the long run. The World Bank is already assisting FBR to bring business friendly steps and reforms in the taxation system.

کنٹری ڈائریکٹر ورلڈ بینک پاکستان کی چئرمین ایف بی آر سے ملاقات

 Mr. Patchamuthu Illangovan (Illango)  پاکستان کنٹری ڈائریکٹر ورلڈ  بینک نے چیئرمین ایف بی آر سید محمد شبر زیدی سے ایف بی آر ھیڈ کوارٹر میں ملاقات کی۔ ورلڈ بینک کنٹری ڈائریکٹر پاکستان نے ایف بی آر کی طرف سے ٹیکس گزاروں کی سہولت اور خاص طور پران کی شکایات دور کرنے پر لئے گئے اقدامات کو سراہا۔ کنٹری ڈائریکٹر ورلڈ بینک پاکستان نے شبر زیدی کی بطور چئر مین ایف بی آر تعیناتی کو خوش آئند کہا اور امید ظاہر کی کہ ان کی کمان میں ایف بی آر اپنے تمام اہداف کو بخوبی پورا کر لے گا۔

ورلڈ بینک پہلے سے ہی ایف بی آر کو ٹیکس اصلاحات اور کاروباری دوستانہ اقدامات کو اپنانے میں تعاون جاری رکھے ہوئے ہے۔

 

Mr. Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 22, 2019 Customs and NBP to Automate Daily Upload of Dollars Exchange Rate in WEBOC

FBR has decided to electronically link customs automated system WeBOC with the Treasury and Capital Markets Group of the National Bank of Pakistan so that the daily exchange rate of major currencies are uploaded into WeBOC directly as soon as the same are notified.

Settlement of payments for Pakistan’s International Trade, like other countries, is done in international currencies. Value of imported goods is converted to Pak Rupees, using latest exchange rate of major currencies notified by the Treasury of the National Bank of Pakistan. As per current procedure, Exchange rate for various currencies is procured from Treasury and Capital Markets Group office of National Bank of Pakistan by Pakistan Customs on daily basis either manually or by downloading the same from National Bank of Pakistan website. It is then feeded manually into the Customs automated system WeBOC for utilization in assessment of value of imports for calculating duties and taxes. In order to further enhance the efficiency of this operation, FBR has decided to electronically link customs automated system WeBOC with the Treasury and Capital Markets Group of the National Bank of Pakistan so that the daily exchange rate of major currencies are uploaded into WeBOC directly as soon as the same are notified.  Necessary instructions have been issued to Director (Reforms & Automation), Karachi for development and deployment of required module in close consultation with National Bank of Pakistan on top priority basis. It is expected that this reform initiative will improve the efficiency and transparency of the process, and will also preclude any possibility of errors/omission.

کسٹم اور نیشنل بینک آف پاکستان کا ڈالر شرح مبادلہ کا وی بوک پر خود کار طریقہ سے اپلوڈ کرنے پر اشتراک

فیڈرل بورڈ آف ریونیو نے کسٹمز خودکار طریقہ کار وی بوک اور نیشنل بینک آف پاکستان کا خزانہ اور کیپیٹل مارکیٹ گروپ کو الیکٹرانک زریعہ سے لنک کرنے کا فیصلہ کیا ھے۔

کسی بھی ملک کی طرح پاکستان کی بین الاقوامی تجارت کا ادائیگی کا نظام بھی بین الاقوامی کرنسی میں کیا جاتا ھے۔ درآمدی اشیا کی قیمت کو کسی بھی بڑی شرح مبادلہ کرنسی جو کہ نیشنل بینک آف پاکستان سے منظور شدہ ہو کو پاک کرنسی میں تبدیل کیا جاتا ہے۔ موجودہ نظام کے تحت پاکستان کسٹمز مختلف کرنسیوں کے شرح مبادلہ کو خزانہ اور کیپیٹل مارکیٹ گروپ آفس سے روزانہ کی بنیاد پر حاصل کیا جاتا ہے۔

جو کہ نیشنل بینک آف پاکستان کی ویب سایٹ سے ڈاون لوڈ کیاجاتا ہے۔ پھر اس کو کسٹمز کے خودکار نظام وی بوک میں ٹرانسفر کیا جاتا ہے۔ تا کہ درآمدی اشیا کی قیمت کو مد نظر رکھ کر ٹیکسز اور ڈیوٹیز کا تخمینہ لگایا جا سکے۔ اس نظام کی بہتری کے لئے فیڈرل بورڈ آف ریونیو نے کسٹمز خودکار طریقہ کار وی بوک اور نیشنل بینک آف پاکستان کا خزانہ اور کیپیٹل مارکیٹ گروپ کو الیکٹرانک زریعہ سے لنک کرنے کا فیصلہ کیا ھے تا کہ بڑئ کرنسیوں کے شرح مبادلہ کو روزانہ کی بنیاد پر وی بوک میں براہ راست اپلوڈ کر دیا جائے۔ اس سلسلے میں ضروری ہدایات ڈائریکٹر ریفارمز اور آٹو میشن کراچی کو جاری کردی گئی ہیں۔ توقع ہے کہ اس اصلاحی قدم سے نظام کی بہتری ممکن ہو گی اور غلطیوں سے نجات پایا جا سکے گا۔

 

Mr. Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 15, 2019 Meeting Held between Presidents of Chambers of Commerce Industry and Chairman FBR

The Presidents of different Chambers of Commerce & Industry met the Chairman FBR Syed Muhammad Shabbar Zaidi in his office on Wednesday. The members of Tax Reforms Implementation Committee also participated in the meeting. The Presidents of Chamber of Commerce & Industry included President from Chamber of Commerce & Industry Lahore, Rawalpindi, Islamabad, Gujrat, Haripur, Gujranwala, Sialkot, Hattar, KPK and others. The Presidents of Chamber of Commerce & Industry appreciated the steps taken by Chairman FBR. They also appreciated the Assets Declaration Scheme-2019 announced by the Government. The members of business community pledged to play a positive role in the development of country’s economy and also further hinted to get benefit of announced Assets Declaration Scheme by availing it.

چیمبر آف کامرس ایند انڈسٹری کے صدور کی چئرمین ایف بی آر سے ملاقات

ملک کے مختلف شہروں سے تعلق رکھنے والے چیمبر آف کامرس ایند انڈسٹری کے صدور نے بدھ کو چیرمین ایف بی آر سید محمد شبر زیدی سے ملاقات کی۔

ملاقات میں ٹیکس اصلاحات عمل درآمد کمیٹی کے ممبران نے بھی شرکت کی۔

ملاقات میں لاہور، راولپنڈی، اسلام آباد، گجرات، ہری پور، گجرانوالا، سیالکوٹ، حطار اور کے پی سے آئے ہوئےچیمبر آف کامرس اینڈ انڈ سٹری سے تعلق رکھنے والے صدور نے شرکت کی۔

تمام چیمبر آف کامرس ایند انڈسٹری کے صدور نے چیرمین ایف بی آرکے کئے گئے اقدامات کا خیرمقدم کیا۔

چیمبر آف کامرس ایند انڈسٹری کے صدور نے حکو مت پاکستان کی اعلان کردہ

کا بھی خیرمقدم کیا۔ (Asset Declaration Scheme)  ایسٹ ڈیکلیریشن سکیم

چیمبر آف کامرس ایند انڈسٹری کے صدور نے ملاقات میں اس امر کا اعادہ کیا کہ کہ وہ ملکی ترقی میں بھر پور کردار ادا کریں گیں اور حکو مت پاکستان کی اعلان کردہ ایسٹ ڈیکلیریشن سکیم سے بھی مستفید ہوں گے۔

 

Mr. Adnan Akram Bajwa
Secretary Public Relations (PR)/(FATE)

May 11, 2019 Effective Steps Taken By FBR Customs Operations to Curb Money Laundering
The Operations arm of Pakistan Customs, has taken vigorous actions to counter illicit movement of currency, which is the primary tool used for money laundering and moving proceeds of crime in and out of the country. 
The current lead taken by Customs Operations FBR, and the effective control measures implemented by enforcement collectorates against currency smuggling has led to record seizures of approx. Rs. 450 million during July 2018 to April 2019, against seizures of Rs.150 million in the corresponding period last year, exhibiting an increase of more than 200%. During the current year more than 30 persons have been arrested for currency smuggling, with ongoing investigations to unearth their domestic/international linkages.
This remarkable achievement is a result of various policy and institutional measures taken under Customs Operations – FBR and the field formations. After an overall assessment of risks of Cash Smuggling through border areas and entry points, the Customs Operations – FBR is embarked upon an extensive ‘Risk Mitigation Strategy’ to curb cash smuggling. Currency Declaration System (CDS) has been implemented at international entry/exit points, which has been recently upgraded and linked with FIA database. During January to April 2019, the CDS has captured currency declarations of around US$20 million by incoming/outgoing passengers. Further, suspected travelers are being targeted by accessing the FIA database. In the same spirit, Baggage/vehicle scanners have been installed at Torkham, Chaman and Taftan border stations, for passenger and cargo screening.
At land border Customs stations, Collector of Customs are coordinating with the relevant LEAs and intelligence agencies for information/intelligence sharing and coordinated operations for countering illicit currency movement. Further, joint control rooms have been established at international airports, manned jointly by Customs, ASF, ANF and FIA.
To continue this momentum, a new Directorate of Cross Border Currency Movement (CBCM), has recently been established under Directorate General (I & I-Customs), through Customs General Order (CGO) 04/2019 dated 06.05.2019 which has defined its charter and scope of functions such as, Analysis and profiling of currency seizures/declarations, suspected banking transactions, maintenance of seizure database and sharing of currency seizure cases with other LEAs, institution of money laundering cases emanating from suspicious banking transactions and investigation and prosecution of cases under AML Act, 2010, Customs Act, 1969 and CrPC.
Under the said order, the guidelines have also been provided to the Investigative Officers for improving investigations such as investigation of accused/arrested person(s) association with any religious/political/social organization or group(s), travel history, past criminal record, professional history, etc., along with the motive/linkages of each currency smuggling case with any of the associated offence, Identification of involvement of any foreign networks other than trans-national terrorist networks in the seizures data. The seizing agency (MCC or Regional Directorate) also urged to investigate foreign linkages of the investigation at hand through Chief (International Customs)-FBR, investigation of the source of funding for cash smuggling and the end user of the smuggling proceeds.
In addition, an Office Order 01/2019 dated 10.04.2019 has been issued, providing a proper mechanism for investigating officers of seizing agency to conduct initial probe of Terror Financing (TF) linkages in all currency seizures, and sharing it with the relevant LEA, through Directorate of CBCM.  
For enhancing international cooperation in controlling smuggling, Pakistan Customs has so far signed 22 MoUs/agreements with foreign governments/Customs administrations for mutual cooperation in Customs matters. Under these agreements, requests for Mutual Legal Assistance (MLA) have been sent to foreign counterparts for identification of linkages in currency seizures.
Ongoing initiatives of Pakistan Customs includes further re-structuring of enforcement formations on the basis of ground demands, introduction of Advance Passenger Information System (APIS) at the international airports, and establishing a National Targeting Centre, which shall serve as an integrated database of all LEAs working against the menace of smuggling. With the introduction of these initiatives, Pakistan Customs is optimistic of ridding Pakistan economy of the malaise of currency smuggling, and the ancillary ills of TBML, black economy, tax evasion, etc.

ا

 

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

May 10, 2019 New Chairman FBR Addressed the FBR Officers After Taking Charge

The Newly appointed Chairman Federal Board of Revenue (FBR) Mr. Shabbar Zaidi addressed the officers of FBR soon after taking charge as Chairman on Friday.

The Chairman FBR shared his vision to revamp the Tax system and Tax machinery and discussed broader problem areas affecting the institution. The Chairman FBR stressed on the need to shift from manual to complete automated system to facilitate the taxpayers. Mr. Shabbar Zaidi also emphasized the need to document all the economic transactions which could be great source of revenue generation for the country.

Chairman FBR took the FBR officers into confidence and assured that the issues being confronted by the FBR employees would be addressed under his leadership. He sought the support of all the officers to work as a team for the betterment of the institution and country. He thanked the Prime Minister for reposing trust in him and pledged to bring improvement in the working and performance of FBR as per expectations of the Prime Minister.

The FBR officers asked questions which were answered by the new Chairman in a very candid manner. The Chairman hoped to have regular interactions with the FBR officers in future.

نئے چیرمین ایف بی آر شبر زیدی کا افسران سے خطاب

نئے چیرمین ایف بی آر شبر زیدی نے جمعہ کی صبح ادارے کا چارج سمبھال لیا اور اس کے بعد افسران سے خطاب کیا

چیرمین ایف بی آر نے ٹیکس نظام میں بہتری لانے کے اپنے ویثرن کا تذکرہ کیا اور ادارے کو درپیش مسائل کا ذکر کیا۔ نئے چیرمین نے ٹیکس گزاروں کی سہولت کے لئے مکمل آٹو میٹڈ ٹیکس نظام کی اہمیت پر زور دیا۔ انہوں نے مزید کہا کہ تمام ٹرانزیکشنز کو ڈاکیومینٹڈ کرنے کی ضرورت ہے تا کہ ریونیو میں اضافہ لایا جا سکے۔

نئے چیرمین نے افسران کو یقین دلایا کہ ان کہ مسائل کو حل کیا جائے گا اور مزید کہا کہ تمام افسران کی سپورٹ سے ھی وہ ادارے میں بہتری لاسکتے ہیں۔ انہوں نے وزیراعظم کا شکریہ ادا کیا اور کہا کہ وہ اس بھاری ذمہ داری کو احسن طریقے سے پورا کریں گے۔

نئے چیرمین نے افسران کے سوالات کا جواب نہایت خوشگوار ما حول میں دیا اور امید ظاہر کی کہ ان کی مستقبل میں افسران سے ریگولر ملاقات ہو گی۔

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

May 06, 2019 Consultative Meeting on Tax Broadening Held in BTB Zone, Islamabad
A Consultative Meeting between the Traders Associations and FBR representatives was held in the Broadening Tax Base Zone (BTB), Islamabad to find ways of broadening the tax base. 
The Consultative Meeting was chaired by Mir Badshah Khan Wazir, DG, BTB and was attended by Commissioner BTB (HQ) and Commissioner BTB Zone Islamabad. The BTB Zone Islamabad had invited Traders Association of G-11 Markaz and F-11 Markaz, Islamabad to seek business community’s views on broadening the tax base. The Traders Associations were represented by Mr. Aftab Gujjar and Mahar Khuda Dad, Presidents of Traders Associations of G-11 and F-11 Markaz respectively along with their office bearers.
The Director General BTB apprised the participants about the significance of broadening of tax base in enhancing national tax revenue. He stated that due to smaller tax base, the burden gets shifted to existing taxpayers. He stressed on the need to have cooperation of trade bodies in the identification and enrollment of potential taxpayers and sought their help to hold facilitation camps in their respective areas.
The representatives of trade bodies appreciated the initiative of DG BTB for holding the consultative meeting. They shared views on the difficulties’ faced by the business community in the enrollment and filing of returns. They advocated the idea of fixed tax regime for the small traders. They agreed to extend cooperation in holding awareness and enforcement camps of BTB Zone in their respective areas.

ٹیکس دائرہ کار کو وسیع کرنے پربی ٹی بی زون اسلام آباد میں مشاورتی اجلاس

ایف بی آر نمائندگان اور تاجر تنظیموں کے درمیان ٹیکس دائرہ کار وسیع کرنے پر بی ٹی بی زون اسلام آباد میں ایک مشاورتی اجلاس منعقد ہوا۔

اجلاس کی صدارت میر بادشاہ خان وزیر ڈائریکٹر جنرل بی ٹی بی نے کی۔ اجلاس میں کمشنر بی ٹی بی زون اسلام آباد اور کمشنر بی ٹی بی ہیڈ کوارٹر نے شرکت کی۔ تاجر تنظیموں کی طرف سے آفتاب گجرصدرتاجر تنظیم جی 11 مرکز اور صدر تاجر تنظیم مہر خداداد ایف 11 مرکز نے ترجمانی کی۔

ڈائریکٹر جنرل بی ٹی بی نے شرکا سے خطاب کرتے ہوئے کہا ٹیکس کے دائرہ کار کو وسیع کرنے سے قومی ٹیکس ریونیو میں اضافہ ممکن ہو گا۔ انہوں نے مزید کہا کہ ٹیکس نیٹ چھوٹا ہونے کی وجہ سے بوجھ ٹیکس ادا کرنے والوں پر پڑجاتا ہے۔ انہوں نے نئے ٹیکس گزاروں کی شناخت کے لئے  تاجر تنظیموں کے تعاون کی اہمیت پر زور دیا۔ مزید کہا کہ تاجر تنظیموں کے تعاون سے ان کے مخصوص علاقوں میں سہولتی مراکز قائم کئے جائیں گیں۔

تاجر تنظیموں کے نمائندگان نے مشاورتی اجلاس کے انعقاد پر ڈی جی بی ٹی بی کو سراہا۔ انہوں نے تاجر تنظیموں کو درپیش مسائل اور ٹیکس ادائیگی اور گوشوارے جمع کرانے میں پیش آنے والے مسائل پر آگاہی دی۔ انہوں نے چھوٹے تاجروں پر مخصوص شرح ٹیکس کی ادائیگی کے خیال کو سراہا۔ تاجر تنظیموں کے نمائندگان نے بی ٹی بی زون کی طرف سے آگاہی اور سہولتی کیمپز لگانے پر ہر ممکن تعاون کی یقین دہانی کرائی۔  

 

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 29, 2019 LTUs/CRTOs/RTOs of FBR to Remain Open on 30th April
Federal Board of Revenue (FBR) has issued instructions to all Large Taxpayer Units (LTUs), Corporate Regional Tax Offices (CRTOs) and Regional Tax Offices (RTOs) of Federal Board to open their offices on 30th April, 2019 and extend working hours till 08:00 PM on Tuesday to facilitate the taxpayers in payment of duties/taxes and filing of income tax returns/statements.
 
FBR has further instructed the Chief Commissioners-IR to establish liaison with State Bank of Pakistan and authorized branches of National Bank of Pakistan to ensure transfer of tax collection by these branches on 30th April, 2019 to the respective branches of State Bank of Pakistan on the same date so as to account for the same towards the collection for the month of April as per State Bank of Pakistan’s directions.
 
 
 
پریس ریلیز
 
تاریخ ۲۹اپریل ۲۰۱۹
 
فیڈرل بورڈ آف ریونیو نے اپنے تمام زیلی دفاتر لارج ٹیکس پئیر یونٹس، کارپوریٹ ریجنل ٹیکس آفسز اور ریجنل ٹیکس آفسز کو ہدایات جاری کی ہیں کہ وہ اپنے دفاتر ۳۰ اپریل ۲۰۱۹ کو رات ۸ بجے تک کھلے رکھیں تاکہ لوگوں کو ٹیکس گوشوارے اور ٹیکس جمع کرانے میں آسانی ہو۔
 
ایف بی آر نےچیف کمشنرزکو مزید ہدایات جاری کرتے ہوئے کہا ہے کہ وہ سٹیٹ بینک آف پاکستان اور نیشنل بینک آف پاکستان کی تمام برانچز کے ساتھ ملکر اس بات کو یقینی بنائے کہ اسی دن یعنی ۳۰ اپریل کو ہی ٹیکس کولیکشن سٹیٹ بینک کی برانچز میں ٹرانسفر ہو۔ 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 18, 2019 Meeting on Tax Reforms held between FBR and World Bank
A meeting was held between Federal Board of Revenue (FBR) and World Bank team on the tax reforms introduced by FBR for medium and small sized companies on Ease of Doing Business. Mr. Abbas Ahmed Mir, Chief (BDT-IT) and Ms. Saba Ijaz, Secretary (BDT-IT) attended the meeting from FBR side. 
 
FBR Officers briefed the World Bank team about the launch of e-payment of taxes through Alternate Delivery Channels (ADC) which came into effect since March 2018. Through Alternative Delivery Channels, the taxpayers can now pay their taxes through ATM, internet banking or mobile banking which has saved taxpayers time and resources. FBR team also apprised World Bank team on the reduction of income tax rate from 25% in tax year 2018 to 24% in tax year 2019 for the small companies. Income tax rate will keep on reducing by 1% every year till 2023 when it will be 20%.
 
On the subject of audit selection of cases, World Bank team was informed that FBR has carried out parametric selection of cases using new business intelligence tools. The process has significantly reduced the number of cases selected for audit. In Audit Policy 2017, FBR selected 7.5% cases for audit out of the total filers. However, in Audit Policy 2018, FBR has selected 2.3% of income tax cases and 2.5% of sales tax cases for audit out of the total filers.
 
FBR officers also clarified the Sales Tax Law relating to capital asset purchase and adjustment of input tax under section 8B of Sales Tax Act 1990.
 
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 05, 2019 State of the Art New Official Website of FBR Launched
The Minister of State for Revenue Mr. Muhammad Hammad Azhar inaugurated the new state of the art official website of Federal Board of Revenue. Speaking on the occasion, the State Minister for Revenue stated that the new official website is user friendly and has the relevant information required by taxpayer needed to fulfill their tax obligations. The new website will help to usher in a new era of improved taxpayer facilitation, he added. 
 
 
Chairman FBR, Mr. Mohammad Jehanzeb Khan highlighted the difference between the new and the old version of the website and stated that the new website caters to the taxpayers’ needs and provides solution to all their tax related issues. 
 
 
The Minister of State for Revenue and Chairman FBR appreciated the FATE Wing of FBR particularly Member (FATE) Mr. Mustafa Sajjad Hassan who made the launch of new website possible by dint of hard work and commitment. The Minister of State for Revenue and Chairman FBR in their address assured that further improvements will also be made in the new website with the passage of time and all the suggestions of the people in this regard will earnestly be taken into account.
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 05, 2019 Computer Ballot held at Federal Board of Revenue under Audit Policy 2018
The Audit Policy 2018 pertaining to Tax Year 2017 has been approved by the Federal Board of Revenue and a computer ballot was held at FBR (HQ) on 4 April 2019. The State Minister for Revenue Mr. Muhammad Hammad  Azhar and Chairman FBR Mr. Mohammad Jehanzeb Khan announced the Audit Policy-2018 and inaugurated the balloting process. 
The selection of cases this year has been done on parametric basis. Advanced data analytics have been used to design parameters to make sure that only non-compliant tax payers are selected. As a result, this year only 2.3% of total cases available for audit for Income Tax, Sales Tax, and FED have been selected compared with 7.5% cases selected in last year’s ballot.  
 
For facilitation of taxpayers, this year the Tax Periods for Sales Tax and FED audit would be the corresponding accounting period adopted for the purpose of return of income under the Income Tax Ordinance 2001. In previous years, financial year was selected as Tax Period for all taxpayers which caused undue hardship to those who had opted Special Tax Year for accounting purposes. Furthermore, the FBR has decided that taxpayers who have been audited in Income Tax in any of the preceding three Tax Years i.e. 2016, 15, and 14 and salaried individuals have been excluded from this year’s ballot. The Audit Policy 2018 and National Tax Numbers/CNIC of cases selected for audit have been placed on FBR’s website at www.fbr.gov.pk
The Minister of State for Revenue and Chairman FBR appreciated Ms. Nausheen Javaid Amjad (Member Taxpayers Audit) and her team who zealously put effort in finalizing the Audit Policy 2018.
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 04, 2019 Selection of cases for Audit under Audit Policy 2018

The Audit Policy 2018 pertaining to Tax Year 2017 has been approved by the Federal Board of Revenue. The selection of cases this year has been done on parametric basis. Advanced data analytics have been used to design parameters to make sure that only non-compliant tax payers are selected. As a result, the FBR has selected a small number of high-risk cases for audit compared to previous years. This year only 2.3% of total cases available for audit for Income Tax, Sales Tax, and FED have been selected through ballot compared with 7.5% cases selected in last year’s ballot. Furthermore, the FBR has decided that taxpayers who have been audited in Income Tax in any of the preceding three Tax Years i.e. 2016, 15, and 14 and salaried individuals would be excluded from this year’s Ballot. Similarly, taxpayers who have been selected for audit under Audit Policy 2017 for Sales Tax and FED have been excluded from this year’s ballot.

The following parameters have been applied for selection:

I. Income Tax:

The risk parameters would not be disclosed in accordance with section 214 C (1A) of Income Tax Ordinance, 2001.

II. Sales Tax:

1. Decline in value of supplies as compared to corresponding months of previous year

2. Consistent increase in input tax/output tax ratio over corresponding months of previous three years

3. Decrease in taxable supplies to total supplies ratio as compared to corresponding months of previous year

4. Difference in declared value of sales as compared to declared turnover in Income Tax Return

5. Persons declaring reduced rate sales

6. Manufactures showing inadequate value addition.

7. Declared sales are less than imports

8. Decrease in payment of tax as compared to corresponding months of previous year

9. Increase in refund claimed as compared to corresponding months of previous year

10. Unclaimed purchase to declared purchases ratio is high

11. Utilities to sales ratio is high

12. Discrepancy identified by CREST

III. Federal Excise Duty

1. Decrease in payment as compared to corresponding months of previous year

2. Decline in value of supplies as compared to corresponding months of previous year

3. Consistent increase in input tax/output tax ratio over corresponding months of previous three years

4. Decrease in taxable supplies to total supplies ratio as compared to corresponding months of previous year

5. Difference in declared value of sales with declared turnover in Income Tax Return

6. Persons declaring reduced rate sales

7. Manufactures showing inadequate value addition

8. Declared sales are less than imports

9. Decrease in payment as compared to corresponding months of previous year

10. Increase in refund claimed as compared to corresponding months of previous year

11. Unclaimed purchase to declared purchases ratio is high

12. Utilities to sales ratio is high

The Audit Policy 2018 and National Tax Numbers/CNIC of cases selected for audit have been placed on FBR’s website at www.fbr.gov.pk

Sardar Omar Sharif
Second Secretary

Apr 03, 2019 Awareness Sessions Held On Tax Reforms By FBR

Federal Board of Revenue has held a session in Lahore for the leading tax consultants, tax managers and businessmen to create awareness about recent tax reforms undertaken by the FBR for ease of doing business.

The participants also included officers from Punjab Information Technology Board (PITB), Punjab Employees Social Security Institution (PESSI), Punjab Revenue Authority (PRA), and Planning and Development Board (P&D)

These reforms contain number of facilities introduced by FBR for the medium and small sized companies which include payment of income tax, sales tax and custom duty online through Alternate Delivery Channel (ADC). ADC includes payment through ATM, mobile banking and online banking. Online payments of pension contributions and social security contributions have also been introduced by Employees Old-Age Benefits Institution (EOBI) and Punjab Employees Social Security Institution (PESSI).

Another reform undertaken by FBR is the introduction of Virtual One Stop Shop (VOSS) whereby a company and its directors get registered with FBR by getting NTN at the time of registration of company with Securities and Exchange Commission of Pakistan (SECP).

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Apr 01, 2019 FBR extended returns filing date to 30th April, 2019

The Federal Board of Revenue has extended the date of filing of Income Tax Returns/Statements for the Tax Year 2018 till 30th April, 2019. The date of filing of returns for companies, individuals and association of persons is also extended to 30th April, 2019.

The FBR took this decision in view of numerous representations by various trade bodies and organizations along-with other taxpayers seeking extension in the date of filing of returns for Tax Year 2018.All persons, who have not yet filed their returns, are urged to take advantage of this opportunity. It goes without saying that FBR has extensive plans to pursue and legally proceed against those persons who are liable to file returns but don’t file it by this extended date.

 

 

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing

Apr 01, 2019 FBR crosses the figure of 1800000 Tax Filers in Tax Year 2018

Federal Board of Revenue (FBR) has crossed the mark of 1,800,000 Income Tax filers for Tax year 2018 for the first time in its history.

FBR is committed to broadening the Tax base to truly make our country self-reliant. FBR will continue with its efforts of creating awareness about the importance of paying taxes not only as a civic duty but also for the growth of the economy. The institution is devoted to facilitating the public in helping to not only fulfill their tax obligations but also to create an enabling environment that fosters economic growth. The institution is also geared to act against those guilty of not fulfilling their tax obligations.

FBR could not have achieved this landmark without the cooperation of our taxpaying public. Together with your support we can truly make the dream of a vibrant Pakistan a distinct reality.

 

 

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing

Mar 23, 2019 Awareness Sessions Held On Tax Reforms

Federal Board of Revenue has held number of sessions in Karachi and Lahore for the leading tax consultants, tax managers and businessmen to create awareness about recent tax reforms undertaken by the FBR for ease of doing business.

These reforms contain number of facilities introduced by FBR for the medium and small sized companies which include payment of income tax, sales tax and custom duty online through Alternate Delivery Channel (ADC). ADC includes payment through ATM, mobile banking and online banking. Online payments of pension contributions and social security contributions have also been introduced by Employees Old-Age Benefits Institution (EOBI) and Punjab Employees Social Security Institution (PESSI).

Another reform undertaken by FBR is the introduction of Virtual One Stop Shop (VOSS) whereby a company and its directors get registered with FBR by getting NTN at the time of registration of company with Securities and Exchange Commission of Pakistan (SECP).

The participants were apprised about these reforms which have been introduced with the partnership of SECP, EOBI, PESSI and Sindh Employees Social Security Institution (SESSI).

 

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing

Mar 20, 2019 110th NMC participants visits FBR
A group of fifty five senior civil servants undergoing the 110th National Management Course (NMC), along with Rector and Dean of the National Management College (NMC), Lahore visited FBR House, here Wednesday.
 
Minister of State for Revenue Mr. Hammad Azhar in his address to the participants said that government is trying to put economy of the country on the right track and FBR’s  role is of utmost importance. 
“We are making fundamental changes in FBR and separated tax policy from operations. At the same time efforts are underway for Optimization of Revenues, IT Driven Processes, Investment Friendly Tax System, continuous Improvement and Innovation and Professional Workforce” he added.
FBR Member IR(Policy) Mr. Hamid Ateeq Sarwar gave a detailed presentation of the various policy and operational challenges faced by FBR and highlighted the strategies adopted by the FBR to address these issues. He also discussed the major initiatives of FBR to enhance revenue generation through ICT based tax system with minimal interface between taxpayers and tax collectors, Automated risk system for identification of tax fraud and tax evasion and Real-time linkages between FBR database with third party data holders.
The briefing was followed by a detailed Questions & Answers session. The NMC participants freely asked questions which were candidly and frankly responded by Minister of state for Revenue Mr. Hammad Azhar and Chairman FBR Mr. Mohammad Jehanzeb Khan. 
At the end of the Q&A session, the Rector National Management College (NMC), Lahore Ali Azmat Ranjha thanked Chairman FBR for providing the participants of NMC with an opportunity to interact with FBR’s top management and to understand the grass-root issues facing the country’s economy and the revenue collection system. Appreciating the performance of the FBR, he said that it is the need of the hour to adopt and promote tax culture at every level of the society.
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Mar 19, 2019 Implementation of Benami Transactions (Prohibition) Rules, 2019
After Implementation of Benami Transactions (Prohibition) Rules, 2019.The Federal Board of Revenue (FBR) has clarified that a Benami property means any property which is subject matter of Benami transaction and also includes proceeds from such property.
 
Benami transaction encompasses where a property is transferred to, or is held by, a person and the consideration for such property has been provided, or paid by, another person ( the trustees and wife, children, brother or sister to whom property has been transferred from known resources will be excluded); A transaction or arrangement in respect of a property carried out or made in a fictitious name; or a transaction or arrangement in respect of a property where the owner of the property is not aware of, or denies knowledge of, such ownership; or a transaction or arrangement in respect of a property where the person providing the consideration is not traceable or is fictitious.
 
The potential types of Benami properties include plots, houses, shopping plazas, shops, housing schemes, bank accounts, vehicles, business shares, jewellery, foreign currency, legal documents and intangible properties having financial value.
 
Benami Transactions (Prohibition) Rules, 2019have been enforced with immediate effect and BTB zones of Inland Revenue Service have been assigned the duty to establish cases against Benami properties and submit challan to Adjudication Authority within 120 working days. During this period, sale, purchase and transfer of property will be banned till further orders. Appeal against the decision of Adjudication Authority can be lodged with the Federal Tribunal and after the decision of the Federal Tribunal such properties will be confiscated and sold out by the Federal Government. Furthermore, if the crime of Benami transactionis proved, criminalproceedings will be initiated against accused persons andwhere proven guilty,rigorous imprisonment of one year to seven years can be awarded to such persons. Similarly, persons providing false and baseless information can also be sentenced to rigorous imprisonmentof six months to five years. 
 
In this regard, the whistleblowers will be entitled to a cash reward for providing credible information leading to detection of Benami property or transaction. If property isworth Rs.2,000,000 or less, five percent of price of Benami property will be given to informer. If property’s worth is more than Rs.2,000,000 or 5,000,000, four percent of Benami property will be given to informer and where the value of property will be more than Rs.5,000,000, three percent of Benami property will be given to informer.
 
It is clarified that this reward will be given only if the information provided is of value and FBR doesn’t already have it and the information was not available in public records and appeal against confiscation of property has attained finality.
 
 
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Mar 16, 2019 The Federal Board of Revenue has extended the date of filing of Income Tax Returns/Statements for the Tax Year 2018 till 31st March.

The Federal Board of Revenue has extended the date of filing of Income Tax Returns/Statements for the Tax Year 2018 till 31st March.

An order issued on Friday says that the date of filing of returns of total income/statement of final taxation which were due on 31st August 2018 and extended up to 15th December 2018 is now hereby further extended up to 31st March 2019. The date of filing of returns for companies, individuals and association of persons is also extended to 31st March.

The FBR took this decision in view of numerous representations by various trade bodies and organizations along-with other taxpayers seeking extension in the date of filing of returns for Tax Year 2018.

This is a one time taxpayer’s facilitation measure. All persons, who have not yet filed their returns, are urged to take advantage of this opportunity. It goes without saying that FBR has extensive plans to pursue and legally proceed against those persons who are liable to file returns but don’t file it by this extended date.

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing

Mar 02, 2019 FBR issues advice for payment of Rs 7.23 billion Sales Tax refunds

Federal Board of Revenue (FBR) has issued an advice to the State Bank of Pakistan for making payment of sales tax refunds amounting to Rs. 7,236 million to facilitate the exports.

The payment will benefit 898 claimants involved in exports of textile, carpets, leather, sports goods, surgical instruments, rice, food items, machinery and other items. The refund has been paid against 2,637 refund payment orders issued up 30 th January, 2019.

The refund payments shall be transmitted electronically to the respective bank accounts of claimants by the State Bank of Pakistan by the close of banking hours on Monday, 4th March, 2019.

The payments have been made to all those claimants of the aforesaid categories who had provided their bank account details in IBAN format. Those refund claimants who have not provided account number in IBAN format are requested to provide the same through their user ID on FBR’s web portal.

Further, Federal Board of Revenue is conscious of the problems being faced by the businesses on account of outstanding refunds and is working on a plan to pay remaining outstanding refund claims by issuing bonds after the passage of Finance Supplementary (Second Amendment) Bill, 2019, which is presently under approval of National Assembly

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing

Mar 01, 2019 Pakistan Customs surpasses target by collecting Rs 444 billion in 8 months

Pakistan Customs has surpassed its target by collecting Rs 444 billion in first eight months of the current financial year i.e., July-February 2018-19. Target for collection of customs duty for first eight months was Rs 436 billion, 21% higher than the target for the same period of the previous financial year.

In addition, an amount of Rs 518 billion Sales tax has been collected at import stage against collection of Rs 521 billion in the previous financial year. The decline in collection of Sales Tax mainly owes to decrease in quantity and value of POL products.

Moreover, Customs Wing has collected Rs 152 billion Withholding Tax which is 6% higher than previous year collection. Also Federal Excise Duty (FED) collection at import stage during first eight months of the current financial year has registered significant growth of 23 % at Rs 9.1 billion in the current financial year as compared to Rs 7.4 billion in the previous financial year.

Press Section
FATE Wing

Feb 23, 2019 Minister of State for Revenue Hammad Azhar launches Tax Directory 2017

The Minister of State for Revenue Hammad Azhar launched the Taxpayers’ Directory 2017 for Parliamentarians and All taxpayers today at the FBR Headquarters. Chairman FBR Jahanzeb Khan and Member FBR IT Mehmood Aslam Lillah accompanied the Minister for Revenue.

It has been the fifth consecutive year that the Tax Directory for the Parliamentarians and the Tax Payers is published by FBR, said the Chairman addressing the gathering of the Income Tax officers and members of the media team. Increasing the number of tax payers and improving on the Tax to GDP ratio had been the top most priority of the current Government as already affirmed by the Prime Minister and the Minister of State, added the Chairman. There had been a 34% increase in the number of tax filers because of the steps taken by FBR, said the chairman. He further said that increase in investment, facilitation and fair treatment of the tax payers are the guiding principles of the incumbent government’s tax policy.

Minister of State for Revenue Hammad Azhar in his address to the participants of the ceremony said that the object of launching the Tax directory is to introduce financial transparency and sharing information with the Public on how much the Public representatives, who had been availing the resources of the country on behalf of the people, had been paying individually as taxes to the exchequer. The Minister also emphasized the importance of technological interventions in ascertaining the tax liabilities of the individuals thereby minimizing the element of human intervention and complaints against coercion. He said that there are challenges like increase in trade deficit and a large budget deficit that have accumulated over the years but we are taking measures to overcome it. He said that FBR had taken initiatives like ascertaining liabilities of the High Net worth Individuals and getting details of the off-shore assets of the Pakistanis and that will surely not only help in achieving our tax targets but increase our revenues.

The Minister of State also said that it will be our policy from now onwards to collect the taxes from wealthy and mighty first and treat everyone according to the law so that the belief in our system is restored in the hearts of the people. He said that it is the vision of our government to make this country prosperous by providing our business community with a competitive business environment and for this purpose we have offered a trade facilitation package which is in the parliament for approval. We hope that the future is bright for our country and FBR will play its rightful role in this drive towards prosperity.

Tehmina Aamer
Chief FATE

Feb 14, 2019 Advance Tax collection meant to facilitate taxpayers, says FBR

Federal Board of Revenue (FBR) has clarified certain media reports appearing in a section of the press claiming “advance taxes give artificial boost to revenue collection”.

In a statement issued today, FBR has termed the news report as misconceived and misguiding as the collection of Advance Tax depicts real time quarterly collection and the regime of Advance Tax collection is available in all developed countries’ tax systems. Since advance tax is paid on quarterly basis, it saves the taxpayer from excessive burden at the end of a financial year. Such a taxation also gives real-time tax collection estimates to the government. Besides, it is in consonance with the universally acclaimed taxing maxim of ‘Pay as You Earn’. Lastly, Advance Tax is not collected on arbitrary grounds. It is, in fact, collected in the light of clearly stipulated criterion laid down under Section 147 of the Income Tax Ordinance 2001 and the credit is given to the taxpayer at the time of filing of tax return

Hamid Raza Khan
Secretary (PR-FATE)

Feb 08, 2019 FBR launches Urdu version of Customs Act, 1969

Federal Board of Revenue (FBR) has launched the first Urdu Version of the Customs Act, 1969 for the convenience and benefit of the traders and the business community. The version is updated till the 30th June 2018 and has been uploaded on the FBR website for easy access of the business community as well as general public.

This is a major initiative of FBR in line with the requirements of Article 1 of the Trade Facilitation Agreement (TFA) which specifies the information required to be published and made available through internet in a non-discriminatory and easily accessible manner in order to enable the governments, traders and other interested parties to be acquainted with them.

Furthermore, FBR has also complied with the directives of the Honorable Supreme Court of Pakistan in its landmark decision in Constitutional Petition No. 56 of 2003 to translate Federal as well as Provincial laws into Urdu in compliance of Article 251 of the Constitution of Pakistan.

Hamid Raza Khan
Secretary (PR-FATE)

Feb 05, 2019 FBR starts receiving live transactions of textile, leather articles sales

Federal Board of Revenue (FBR) has started receiving live transactions of sales of finished articles of textile and leather and the eligible persons integrating or having already integrated their systems with the FBR can now avail of reduced rate of 6 per cent on their sales as announced by the federal government.

The federal government had notified effective from 1st July 2018, a reduced rate of 6% for finished articles of textile and leather for those registered persons who are online with FBR's computerized system. This system was made operational by issuing SRO 1360(I)/2018, dated 12.11.2018. As many as 75 registered persons are now integrated with FBR and declaring sales of their 2574 outlets through this system.

The FBR's system is now ready for receiving live sales transaction as specified in rule 150ZEB of Sales Tax Rules 2006. The eligible registered persons can download software and integrate all their already declared outlets with FBR's system. This is to be done by 3rd March 2019, in order to regularize the reduced rate already availed. In case of failure differential amount shall be recoverable.

The persons volunteering to integrate their systems for availing reduced rate on future supplies and who fulfil conditions in rules can approach respective Commissioners for approval in this respect. Websites hosted with a registered domain name have also been recognized to be treated as sales made through Point of Sale (POS)

Hamid Raza Khan
Secretary (PR-FATE)

Jan 25, 2019 FBR rebuts media reports claiming Rs 12 bn taxes imposed

فیڈرل بورڈ آف ریونیو (ایف بی آر) نے بعض اخبارات میں چھپنے والی اِس خبر کی تردید کی ہے جس کے مطابق فنانس سپلیمنٹری (سیکنڈ امنڈ منٹ) بل2019ء میں 12 ارب روپے کے نئے ٹیکس لگائے گئے ہیں۔
جمعرات کے روز جاری کردہ ایک اعلامیہ میں ایف بی آرنے متعلقہ خبروں کو غلط اور گمراہ کن قرار دیتے ہوئے واضح کیا ہے کہ فنانس سپلیمنٹری (سیکنڈ امنڈ منٹ) بل2019ء میں کوئی نیا ٹیکس نہیں لگایا گیا۔درآمدی بل کے حجم کو کم کرنے اور روپے کی قیمت کو مستحکم رکھنے کے لیے1800 سی سی سے زائد انجن پاور گاڑیوں کی درآمد اور اسی طرح پاکستان میں بننے والی 1800 سی سی سے زائد انجن پاور گاڑیوں پر ایکسائز ڈیوٹی میں اضافہ کیا گیا ہے جس سے دو سے تین ارب روپے کیے محصولات متوقع ہیں جبکہ اسی بل میں کم از کم 10 ارب روپے سے زائد کے ریلیف اقدامات اٹھائے گئے ہیں ۔فنانس بل سے مجموعی طور پر ایف بی آر محصولات میں 6.8 ارب روپے کی کمی آئے گی جس سے کاروباری افراد کی سہولیات میں اضافہ ہو گا۔

 

Hamid Raza Khan
Secretary PR (FATE)

Jan 25, 2019 FBR has powers to raise immediate demand and effect recovery provisionally

Federal Board of Revenue (FBR) has said it enjoys powers to raise immediate demand and effect recovery on provisional basis in case of government confiscated local assets under Section 123 of the Income Tax Ordinance.

The scope of this Section is proposed to be extended to discovery of undeclared offshore assets through the current Finance Bill. Now the demand and recovery of tax on such persons can be executed immediately after receipt of information in suitable cases. The measure is necessary to enable FBR to recover tax provisionally before the money moves out of bank accounts and the regular proceedings, which take about a year or two, follow.

FBR has further said that it can also request assistance in recovery of such taxes from foreign jurisdictions wherever it has bilateral and multilateral agreements. This will ensure that FBR can request freeze of offshore accounts to other countries by conveying demand to such countries.

FBR is already in possession of information of bank accounts of Pakistanis from 26 countries and this provision will enable FBR to move swiftly in the direction of taxing people involved in holding of offshore assets. As such, this measure has been introduced in addition to measures already available in Income Tax laws, Anti-Money Laundering Act and FIA/NAB laws and, in no way, precludes or overlaps the jurisdiction of such laws and institutions

Hamid Raza Khan
Secretary (PR-FATE)

Jan 11, 2019 Chinese Embassy donates 4 X-Ray scanners to Customs

Chinese Embassy in Pakistan donated four X-Ray scanners to the Custom Wing of Federal Board of Revenue here on Friday.

The equipments were handed over by Mr Chen Wei, Counsellor of the Embassy of the People’s Republic of China in Islamabad to Dr Jawwad Uwais Agha, Member Customs (Operations), Federal Board of Revenue in the presence of other senior officers of Pakistan Customs.

The donated scanners, having value of One million RMB, shall be instrumental in supporting the Customs authorities at the airports to effectively utilize non-intrusive technology in preventing smuggling of contrabands especially currency.

The gift of 4 X-Ray scanners will reaffirm the immutable bonds of friendship and brotherhood between the people of Pakistan and China, to strengthen the unbreakable and timeless China-Pakistan friendship, and to promote Customs clearance facilitation in Pakistan. 

Hamid Raza Khan
Secretary PR FATE Wing

Dec 26, 2018 FBR offices to remain open on Saturday and observe extended working hours on Monday

All FBR offices (LTUs/CRTOs/RTOs) to remain open and observe normal working hours on Saturday (December 29, 2018) and observe extended working hours till 10:00pm on Monday (December 31) to facilitate the taxpayers in payment of duties and taxes.

The Chief Commissioners to establish liaison with State Bank of Pakistan and authorized branches of National Bank of Pakistan to ensure transfer of tax collection by these branches on December 31, 2018 to the respective branches of State Bank on Pakistan on the same date so as to account for the same towards the collection for the month of December 2018

Hamid Raza Khan
Secretary PR FATE Wing

Dec 21, 2018 FBR meets stakeholders to forge consensus on Track &Trace System for tobacco products

Federal Board of Revenue (FBR) has held a wide-ranging, interactive session with the stakeholders, including representatives from the World Bank, to develop and implement a track and trace system for the tobacco products.

The deliberations were made as part of a workshop arranged by FBR today (20th December, 2018) and attended by representatives of the Cigarette Industry, IT Solutions Providers and Enforcement Officers of FBR. The participants of the workshop unanimously agreed to welcome the new proposed Track and Trace System if it was implemented across the board in its true sprit by adopting a fair and transparent process. 

Earlier, the Director General (BTB) FBR Islamabad briefed the participants on the purpose and scope of the Track and Trace System and invited the participants of offer their input and suggestions to make whole process fair and transparent. Project Director, Track & Trace System (T&TS) FBR also briefed the participants in detail on the concerns and observations of the stakeholders and regulatory authorities on the track & trace system.

Addressing the workshop, representatives of leading tobacco manufacturing companies operating in Pakistan expressed their concerns about cost-effectiveness of the Track and Trace Project while the IT solution providers called for a generic RFP as a non-specific or restrictive RFP limited the scope of a level-playing field necessary for all potential bidders to participate in the bidding process.

Speaking on the occasion, the representative from the World Bank expressed willingness on behalf of his organization provide all assistance to FBR to make the bidding process of the system a success.

 

Hamid Raza Khan
Secretary (PR-FATE)

Dec 19, 2018 Special benches constituted in superior courts for hearing of tax related cases

Special Tax Benches have been constituted in the honourable Supreme Court of Pakistan and the Lahore High Court for hearing of Tax related cases.

The Federal Board of Revenue had earlier provided the details of pending cases to the Supreme Court and the Lahore High Court with the request to formulate special tax benches. The Board also issued special instructions to the field formations to ensure that the departmental cases are properly prepared and represented before the courts when these are fixed for hearing.

Special Bench at the Supreme Court comprising Mr. Justice Umar Ata Bandial, Mr. Justice Munib Akhtar and Mr. Justice Yahya Afridi started hearing of cases around the middle of October 2018 while special bench at the Lahore High Court comprising Mr. Justice Shahid Jamil Khan and Mr. Justice Asim Hafeez have been hearing tax related cases since 23-10-2018. So far, the special bench at the honourable Supreme Court of Pakistan has decided over 122 cases whereas the special bench at the honourable Lahore High Court has decided over 265 tax related cases.

Formation of these Special Tax Benches is expected to speed up the hearing process and decisions in pending tax and expedite recovery of potential tax revenue.

Hamid Raza Khan
Secretary PR-FATE

Dec 15, 2018 17th December 2018 to be the last date for filing of Income Tax Returns

Federal Board of Revenue (FBR) has allowed filing of Income Tax returns until 17th December 2018 because of the weekend falling on 15th December which was previously announced as the deadline for filing of returns, says a statement issued by the FBR today.

The statement issued by the Official Spokesperson FBR says that a number of queries have been received about extension of last date of filing of return but the return filing date is not being extended any further. However, since the last date of filing of return falls on a non-working day, hence as per General Clauses Act the closing date for filing of Income Tax returns falling on 15th December 2018 as per previous announcement is automatically extended to next working day i.e. Monday the 17th of December. The tax offices will be extending help in filing of returns on Monday till close of office hours and the returns will be received electronically till 12 midnight.

Moreover, the Commissioners are also authorized to grant extension for a period up to 15 days on case-to-case basis. Although the receipt of return will not be blocked after due date, yet as per existing law, the names of persons who fail to file return by the closing date (or by the date extended by the Commissioners) will not be put on the Active Taxpayers List.

Hamid Raza Khan
Secretary (PR-FATE)

Dec 04, 2018 Certificate Distribution Ceremony of “Training of Trainers” for e-office implementation

Certificate Distribution Ceremony of “Training of Trainers” (Master Trainers) for e-office implementation was held at Federal Board of Revenue (FBR) in coordination with National Information Technology Board (NITB).

The e-office implementation started on directives of the Chairman Federal Board of Revenue, Mr. Jahanzeb Khan.

Information technology Wing FBR under Member IT, Mr. Khawaja Adnan Zahir was given the task to spearhead the E- office implementation.

E- Office Implementation program is being led by Ms. Syeda Adeela Bokhari and Ms, Javeria Hayat from Information technology wing and first step towards its implementation has been completed on December 4th, 2018.

Mr. Azhar Mehmood Janjua was the NITB Master trainer who trained more than 70 personnel for E- office Implementation from 15th November, 2018 till 4th December, 2018.

The closing ceremony was held at FBR Auditorium on 4th December followed with Certificate Distribution on the same day.

Hamid Raza Khan
Secretary (PR-FATE)

Nov 22, 2018 Government facilitating, not harassing, taxpayers, says FBR

Federal Board of Revenue (FBR) has said the government has facilitated the taxpayers by providing them a one-time option for closing the audit proceedings due to late filing of returns through the Finance Supplementary (Amendment) Act 2018.

In a statement, FBR has strongly denied news reports in a section of the print media accusing the taxation authorities of harassment of late filers, especially salaried individuals. The assertion by the media that FBR is pressurizing taxpayers for additional revenue through recovery of penalties reveals a lack of understanding about tax laws and their true intent.

FBR has clarified that an amendment in income tax law made through Finance Act 2015 by the previous government provided for automatic selection for audit if a person had not filed return of income by the due date stipulated under the law. Through Finance Act 2018 this amendment was withdrawn, however the cases that were automatically selected under the said provision prior to its withdrawal were still to be audited. This created a lot of problems for the taxpayers and also resulted in a large pendency of audit cases. Therefore, in order to facilitate the taxpayers, the present government, provided a one-time option to the taxpayers for closing the audit proceedings due to late filing of returns through the Finance Supplementary (Amendment) Act 2018.

Under the Finance Supplementary (Amendment) Act 2018, taxpayers were provided an option to get their audits closed on the payment of either 25% higher taxes than the tax paid with the return or in case no tax was payable 2% of the turnover and to file revised return by 31-12-2018. The salaried individuals whose cases were selected for audit due to late returns were facilitated by exempting them from the requirements of paying 25% higher tax and filing revised returns for closure of their audit cases. They however, had to pay only the penalty on account of delay in filing of return in order to get their audit cases closed. It is worth mentioning that the previous government had fixed the minimum penalty for late filing of return at Rs 20,000 through the Finance Act 2013 and no change has been made by the present government.

It is imperative to understand that the penalty proceedings are independent from audit which will be applicable regardless of whether the taxpayer avails the benefit under the above mentioned provision of the Finance Supplementary (Amendment) Act 2018 or not.

That is to say that even if the taxpayer chooses not to conclude its audit proceedings he or she would have to pay the tax charged as a result of audit proceedings as well as the penalty for late filing which, as mentioned before is an independent provision applicable on persons who were obliged to file their returns but filed the returns late. The present government tried to facilitate the salaried taxpayers by providing a one-time option to avoid additional tax liability under the audit proceedings.

Hamid Raza Khan
Secretary PR

Nov 22, 2018 Taxpayers can close audit by paying penalty or higher tax: Member FBR

All those taxpayers who have been selected automatically for audit u/s 214D due to late filing of returns for Tax Year 2015, 2016 and 2017, have now the opportunity for automatic closure of audit u/s 214E by paying the penalty or higher tax than previously filed return, whichever is applicable under the law, said Ms. Nausheen Javaid Amjad, Member Taxpayers’ Audit FBR.

She was chairing a seminar at auditorium of Corporate RTO, Karachi. The seminar was attended by the Chief Commissioner and Commissioner of LTUs and RTOs of Karachi. President of All Pakistan Tax Bar Association Mr. Abdul Qadir Memon, President Karachi Tax Bar Association Mr. Kahild Mehmood as well as a large number of lawyers, chartered accounts and tax practitioners also attended the seminar. She explained at length that the salaried persons or those whose income falls under the category of FTR/PTR have to pay penalty only to close their audits. However, taxpayers whose income falls under any other head of income, have to apply for revision of returns u/s 214E in IRIS system.

Mr. Umair Soomro, Senior Manager PRAL also demonstrated the IRIS working in this regard. He explained that a tab has been made available in the system for this task. The relevant Commissioner will approve the said request within three days or the system will automatically allow revision on the fourth day. The system will automatically calculate the tax due in both categories. Once the payment is made and relevant CPR is attached and submitted, the system will automatically close the audit proceedings. He explained that the CPRs shall be prepared u/s 214E specifically designed for the purpose. She adequately explained and highlighted all the aspects of the scheme. She briefed that the Section 214E is voluntary for taxpayers and has been announced for their facilitation however in cases where taxpayers are confident, they may opt for regular audit for assessment of their income tax affairs.  She also responded to the questions raised by the members of the tax bar and various persons present in the seminar. The facility for availing automatic closure of audit u/s 214E is available till 31 Dec 2018.

Member Taxpayers’ Audit further explained that Section 214D under which late filers were automatically selected for audit, has been deleted from the Income Tax Ordinance 2001 in the Finance Act 2018 due to undue hardships faced by new taxpayers and to facilitate the process of Broadening of Tax Base and is not applicable to the returns filed after 1st July, 2018.

 

 
 
 
Hamid Raza Khan
Secretary PR

Government has not revised rates or limits for tax on cash withdrawal

The Federal Government has not revised rates or limits for tax on cash withdrawal from bank accounts under section 231A and on issuance of cash denominated bank instruments such as pay orders and demand drafts under section 231AA of Income Tax Ordinance 2001. The FBR spokesperson has strongly refuted such news appearing on some sections of media

There has been no change in cash limits or tax rates in any of the two provisions of law. The only change which has been made through Finance 2nd Supplementary Act 2019 is taking out the tax filers from the scope of both these provisions. Now these withholding provisions are applicable only to non-filers, the spokesperson has further clarified.

The spokesperson added that this huge concessionary step has been taken by the Government to encourage commercial activity through banking channels which needs to be appreciated.

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

LTUs/CRTOs/RTOs Of FBR To Remain Open on 29th & 30th March
Federal Board of Revenue (FBR) has issued instructions to all LTUs/CRTOs/RTOs to open their offices on 28th and 29th March, 2019 and extend working hours till 08:00 PM on Friday and till  10:00 PM on Saturday to facilitate the taxpayers in payment of duties and taxes and filing of income tax returns/statements.
FBR has further instructed the Chief Commissioners-IR to establish liaison with State Bank of Pakistan and authorized branches of National Bank of Pakistan to ensure transfer of tax collection by these branches on 30th March to the respective branches of State Bank of Pakistan on the same date so as to account for the same towards the collection for the month of March as per State Bank of Pakistan’s directions.
 
OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

Chairman FBR Denies Having Any Twitter Account On Social Media

The Chairman FBR, Mr. Shabbar Zaidi has clarified that he doesn’t have any social media account on twitter and the twitter account circulating on social media with his name is fake. New Chairman FBR has cautioned the people not to follow fake social media account being run on twitter with his name. He has advised the people to always validate the information appearing on any mass medium which is associated with him.

 

چیرمین ایف بی آر شبر زیدی نے وضاحت کی ہے کہ ان کا سوشل میڈیا پر کوئی بھی ٹویٹر اکاءونٹ نہیں ہے ۔ 

اس حوالے سے ان کے نام سے سوشل میڈیا پر گردش کرنے والا ٹویٹر اکاءونٹ فیک ہے ۔ 

چیرمین ایف بی آر نے لوگوں کو خبردار کیا ہے کہ وہ ٹویٹر پر ان کے نام سے چلنے والے اکاءونٹ کو فالو مت کریں ۔ اوران کے نام سے چلنے والی خبر کی ضرور تصدیق کر لیں ۔

 

OFFICE OF SECRETARY PUBLIC RELATIONS
Facilitation & Taxpayers Education (FATE) Wing

25th Senior Management Course Participants visit FBR

The trainee officers of 25th Senior Management Course, National Management College, Lahore visited FBR on Wednesday and got a detailed briefing on the functioning and performance of Federal Board of Revenue.

Later, the participants were given a detailed presentation by Member, Facilitation and Taxpayers Education (FATE) Mr. Mustafa Sajjad Hassan who briefed about the functioning of FBR and highlighted the achievements and performance of the institution.

The Chairman FBR Mr. Mohammad Jehanzeb Khan in his remarks welcomed the trainee officers and answered their queries. The Chairman FBR explained about the tax policies being adopted by the present Government to broaden the tax net and to overcome systemic tax impediments. He further talked about the Integrity and Performance Management Unit (IPMU) being set up by FBR and highlighted the efforts of FBR to expose Benaami transactions.

The Directing Staff, National Management College in his concluding remarks appreciated the FBR for holding an interactive session for the trainee officers and added that the trainee officers of 25th Senior Management Course were greatly enlightened about FBR’s functioning through this session.

In the end, shields were exchanged as a memento which was followed by a group photograph of all the participants with FBR Chairman.

پچیسویں سینئیر مینجمنٹ کورس کے زیر تربیت افسران کا ایف بی آر کا دورہ
 
پچیسویں سینئیر مینجمنٹ کورس، نیشنل مینجمنٹ کالج لاہور کے تربیت حاصل کرنے والے افسران نے بدھ کو فیڈرل بورڈ آف ریونیو کا معلوماتی دورہ کیا ۔ زیر تربیت افسران کو ایف بی آر اور اس کی کارکردگی پر جامع بریفنگ دی گئی ۔
 
بعد میں شرکاء افسران کو ممبر فیٹ مصطفی سجاد حسن کی طرف سے ادارے کے متعلق اور اس کی کارکردگی پر ایک جامع بریفنگ دی گئی ۔ چیئرمین ایف بی آر محمد جحہانزیب خان نے زیرتربیت افسران کو خوش آمدید کہا اور ان کے سوالات کا جواب دیا ۔ چیئرمین ایف بی آر نے موجودہ گورنمنٹ کی ٹیکس پالیسیز اور اصلاحات پر روشنی ڈالی اور افسران کو ادارے کی طرف سے ٹیکس نظام کی بہتری کے لئے کی گئی کاوشوں کا تذکرہ کیا ۔
 
ڈائریکٹنگ سٹاف نیشنل مینجمنٹ کالج ڈاکٹر سعد خان نے چیئرمین ایف بی آر کا شکریہ ادا کیا اور مزید کہا کہ بریفنگ سے زیرتربیت افسران کی ایف بی آر کے متعلق آگاہی میں اضافہ ہوا ہے 
 

 

 

 

OFFICE OF SECRETARY PUBLIC RELATIONS
FATE Wing