FBR revises e-procedure for CPR correction of IT, ST, FED CCs directed to provide reasons in writing for rejecting any application

The Federal Board of Revenue (FBR) on Friday directed chief commissioners to provide reasons in writing for rejecting any application for correction in computerized payment receipt (CPR) of income tax, sales tax and federal excise duty (FED) submitted by the taxpayers.

The FBR on Friday revised e-procedure for correction of computerized payment receipt (CPR) of income tax, sales tax and federal excise duty.

In this regard, the FBR has issued a circular on Friday that superseded previous circulars.

Under the new circular, the FBR has made it mandatory for the designated officers to specify reasons in writing for rejecting an application for correction in CPR of the taxpayer.

According to the new procedure, the FBR has abolished the condition that cases pending at Board's/Computer Wing's level may be processed before October 15, 2018. This condition was mentioned in the FBR's circular of 2018 which has been abolished in circular of January 3, 2020.

The e-procedure for correction in CPR has been updated in IRIS software and following e-procedure will be followed for the correction in CPR (income tax, sales tax and FED).

The scope of changes shall be restricted to change of name, address, NTN/CNIC; change in tax year/tax period and change in payment code/payment section.

Online application to such effect will be submitted through IRIS software using taxpayer's own login. The said online application will be placed in the "Inbox" of the concerned chief commissioner having jurisdiction over the case of such taxpayer. Scanned copies of the following documents will also be uploaded in the system for evidence including i) a copy of such CPR, ii) in case of mistake made by withholding agent, a letter from withholding agent and affidavit from the taxpayer on stamp paper that amendment may be made in CPR, iii) and for correction of NTN/CNIC in CPR, affidavit from the person on whose name the payment has been deposited mistakenly.

The chief commissioner shall designate an officer in CCIR office for such purposes. On receipt of abovementioned e-application along with scanned copies of documents in the "inbox," such designated officer shall process the case.

Before approval it shall be ensured through system that the CPR has not previously been utilized against any payment due. However, it shall not bar correction to the extent of particulars of withholder in utilized withholding CPR only.

After due system verification such change(s) shall be made in FBR e-system "RECAP" to the relevant CPR. The chief commissioner shall also ensure that applications are disposed of within fifteen days from the receipt of complete documents. Shortcoming, if any, may also be communicated to the taxpayer through system generated letter. The designated officer shall provide reasons in writing/or rejecting any application/or correction in CPR.

In the case where scope of correction falls in different territorial jurisdictions, the chief commissioner to whom such e-application is made shall forward such application electronically to the chief commissioner where such CPR was recorded incorrectly. On receipt of such e-application, the concerned chief commissioner shall make necessary correction in such CPR and inform the taxpayer accordingly. In case of any objection, reason to such extent shall be communicated to the respective tax office electronically.

Change in CPR will only take place in the systems of FBR for all accounting purposes and the taxpayer will be entitled to take such credit accordingly. Original CPR, being a bank document, will remain unchanged. Heads of Account (NAM) shall not be changed in the CPR.