ISLAMABAD: Following intervention of the Federal Tax Ombudsman (FTO), the Federal Board of Revenue (FBR) has issued new instructions to its field offices for quick disposal of refund cases of income tax. The issue of unnecessary delay in processing these cases was taken up by the FTO with Member (IR) Operations, FBR.

The instructions have been issued to the FBR’s field offices for early processing of income tax refund claims. First, all CNIC/NTN-based verifications available through system will be internally verified and verifications from other withholding agents will be carried out efficiently within the time limits provided under the law.

Second, no fresh audit/recovery proceedings will be initiated against the taxpayer during the period his complaint at the FTO office is under process barring the cases where non-initiation of audit/recovery proceedings may have an element of time limitation or any other urgent requirement under the relevant laws.

Third, the refund claims involving the FTO recommendations should be processed in light of already circulated SOPs, so that these refund orders may be made available under FTO category in “CITRO” system.

The above instructions will not only facilitate the taxpayers by doing away with the inordinate delays in refund claims in the name of lengthy verification procedures but will also be safe guarding the taxpayers against exploitation by way of unnecessary audit/recovery notices, the FTO added.

Copyright Business Recorder, 2022