ISLAMABAD: The Federal Tax Ombudsman (FTO) has expressed serious concern that the Federal Board of Revenue (FBR) is harassing taxpayers by asking individual computerised payment receipts (CPRs) in cases where no such CPR is generated by the banks.
According to an order issued by the FTO against the FBR on Thursday, it is unfortunate that department has shown complete disregard to the fact that in cases of bank withholding no individual CPR were generated by the banks at that point of time i.e. Tax Year 2016.
The taxpayers have no control over the banks to ask for individual CPR. While the department accepts bulk collection from banks without insisting individual CPRs. It is a farce that same department denies collection of tax while credit is claimed by individual taxpayers. Such an approach is arbitrary, whimsical and epitome of double standards. It is worthwhile to point out that it is second round of complaint filed by the taxpayer which is indicative of the fact that the department unnecessarily drags the proceedings which is a cause of hardship for the taxpayer.
The findings of the FTO revealed that the delay in giving appeal effect to CIR(Appeals) order dated 14.09.2023 for Tax Year 2016 and its consequential effect and rejecting refund application for on one pretext and other in a hasty
manner without considering Rule 42 certificates and ground realities and practices tantamount to maladministration, the FTO order said.
The FTO has recommended the FBR to direct the concerned commissioner to desist from harassment of taxpayers by asking individual CPRs in cases where no such CPR is generated because department itself accepts bulk withholding from the
banks and direct the concerned CIR to allow appeal effect in terms of Section 124 of the Ordinance and issue refund as per law consequent to appeal effect order, after providing opportunity of hearing to the complainant, the FTO order added.
Copyright Business Recorder, 2024