All Pakistan Textile Mills Association (APTMA) has strongly criticised the working of the Computerised Risk-Based Evaluation of Sales Tax (CREST) system of the Federal Board of Revenue (FBR) and proposed constitution of teams comprising APTMA and tax officials for investigating discrepancies in any CREST action against the defaulting units.
Sources told Business Recorder here on Monday that APTMA has proposed changes in the CREST system of the FBR as part of the new Textile Policy (2014-19). The association has strongly criticised the role of the CREST system in detecting discrepancies in the sales tax returns filed by the textile sector. The suggestions pertaining to the CREST have been conveyed to the Ministry of Textile Industry for necessary action.
The APTMA suggested that the deficiencies in the design of CREST system are causing great hardships for the concerned taxpayers especially that of textile sector. It is the department that has failed to update the "Tariff Information" in the Sales Tax Registration Numbers (STRNs) of the taxpayers and the result is that even such units which are known to exist in textile sector confirmed by dozens of government agencies are not regarded a textile unit by the CREST and, resultantly, its associates are put to question regarding the supplies involving such units.
It is proposed that instead of issuing threatening notices on the basis of CREST discrepancies team comprising APTMA as well as department official be constituted to first consider the matter and if cleared by the committee, department could take legal action against the defaulting taxpayer (It is practically shown that forming of committees, to review the audit selection made by the FBR, having representatives of the Business Chambers, is a very judicious and litigation reducing measure).
Comments
Comments are closed.