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Federal Tax Ombudsman (FTO) on Wednesday settled 18-year old duty drawback claims held up since 1991-94 by the Federal Board of Revenue (FBR). According to a statement issued by the FTO Secretariat, on a complaint of an exporter against excessive delay in payment of his duty drawback claims, Federal Tax Ombudsman Dr Muhammad Shoaib Suddle has recommended disciplinary action against the customs officials responsible for the inordinate delay.
The Federal Board of Revenue (FBR) has also been required to ask the delinquent officials to explain why appropriate compensation should not be awarded to the exporter whose claims, due since 1991-94, were not paid. The complainant company has exported 127 consignments of handknitted woolen carpets to different countries during 1991 to 1994. It subsequently filed the rebate claims under SROs 997(1) 79 and 91(1)88, which were duly sanctioned by the customs authorities, it said.
However, in the year 1994, the Central Board of Revenue (now FBR), retrospectively adjusted the rates of rebate under SRO 261(1) 1994. But when the complainant company filed supplementary claims the department stated that the claims had gone missing and complainants were asked to resubmit the claims, which they did accordingly but to no avail.
The FTO called comments on the complaint by the aggrieved exporter from the Model Collectorate of Customs (Exports), it was disclosed that the rebate claims had been sanctioned, but cheques could not be issued due to computer acceptance problem with the NTN number of the complainant company. The FTO advised the Authorised Representative (AR) to co-ordinate with the DR in tracing the NTN number, which was finally traced with the help of Pakistan Automation Private Limited (PRAL), which provides computer services to FBR.
The Department has informed the FTO that computer related problems have been resolved and cheques for Rs 781,400 have now been issued, while the remaining amount of Rs 94,165 will be issued after necessary reconciliation with the complainant. The FTO, in its judgement observed that inordinate delay, inattention and inaptitude on part of the department bring this case within the ambit of serious maladministration.

Copyright Associated Press of Pakistan, 2010

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