The Federal Board of Revenue (FBR) has established a Central Inland Revenue Welfare Fund for IR employees, which can be utilized for personal loans, renovations and repairs of Government residences, purchase/repair of vehicles, subsidy/financial assistance (staff up to BS-16) retired from service and other project/activity involving common welfare of the staff. In this regard, the FBR has issued Inland Revenue Welfare Fund Rules 2016 here on Thursday.
According to the rules, there shall be constituted and managed a Central Inland Revenue Welfare Fund Board at FBR Headquarters, Islamabad which shall consist of Member (IR-Operation), Chairperson, Senior most Member of FBR from IR, Member, Chief Management (Inland Revenue), Member and Secretary to the Member (IR) Secretary.
The Central Inland Revenue Welfare Fund Board shall look after the Inland Revenue Welfare Fund activities at the FBR Headquarters. There shall be formed and managed a Regional Inland Revenue Welfare Fund Board in each Large Taxpayer Unit (LTU) and Regional Taxpayer Office (RTO) and Directorate General which shall consist of Chief Commissioner or Director General, Chairperson, senior most Commissioner or Director, Member, Additional Commissioner (HQ) or Additional Director, Secretary, one officer working in BS 17 or 18, Member, one official working in BS 7 to 16, Member and one official working in BS 1-6, Member.
The Central Inland Revenue Welfare Fund Board shall perform functions including management of income and expenditure of the Central Inland Revenue Welfare Fund, formulation of policies and taking all measures to implement such policies for the investments, generation of further funds and all matters relating thereto, supervision over the Regional Inland Revenue Welfare fund Boards, appointment of auditors for the Fund and holding of an annual general meeting not more than six months after the end of the financial year for the purpose of scrutiny of the auditor's report and the review of the working of the Board of Fund during the financial year.
The Central Inland Revenue Welfare Fund Board shall not spend more than sixty percent of the receipts or anticipated receipts for the financial year during the year: Provided that if the Board of Fund is of a unanimous-view that sufficient reasons exist to incur expenditure in excess of the above limits, it may, for the reasons to be shown in writing, authorize expenditure in excess of these limits:
Provided further that the expenditure shall not in any case exceed eighty percent of the receipts or anticipated receipts for the financial year. Any amount that is not expended by the pool during the year shall be invested in government securities and the profit received there from every year shall form part of the receipts of the Fund for that year, provided that no investment shall be made in any speculative or risky transactions. The Regional Inland Revenue Welfare Fund Boards shall perform the functions including management of the income and expenditure of the respective Regional Inland Revenue Welfare Fund; formulation of policies and taking all measures to implement such policies for the investments, generation of further funds and all manners relating thereto; holding of an annual general meeting not more than six months after the end of the financial year for the purpose of scrutiny of the auditor's report and the review of the working of the Board during the financial year. Provided that the Board of Fund may hold an annual general meeting within three months of the period stipulated above, for sufficient reasons to be given in writing.
Each Regional Inland Revenue Welfare Fund Board shall transfer twenty percent of its receipts for the financial year to the Central Inland Revenue Welfare Fund within six months of the close of the financial year, for utilization by the Board of Fund at FBR Headquarters, FBR said.
Any amount that has remained unutilized with the Income Tax Central Board, or the Central Sales Tax Common Pool Fund Board, or Central Federal Excise Common Pool Fund Board on commencement of these rules shall immediately stand transferred to the Central Inland Revenue Welfare Fund Board. Any amount contributed, granted or allocated by the Federal Government, Federal Board of Revenue or FBR Foundation shall be transferred to the Central Inland Revenue Welfare Fund Board.
It shall be obligatory for every officer and staff member posted at the FBR Headquarters, Islamabad to contribute an amount towards this Fund out of the amount received under those rules. The Central Inland Revenue Welfare Fund Board may distribute the amount received from the Income Tax Central Common Pool Fund Board or the Central Sales Tax Common Pool Fund Board, or Central Federal Excise Common Pool Fund Board or amount received from the Federal Government, Federal Board of Revenue or FBR Foundation to the Regional Inland Revenue Welfare fund Boards, for investment or utilization by these Boards of Fund.
The amounts lying with the Central Inland Revenue Welfare Fund Board and the Regional Inland Revenue Welfare Fund Boards shall be utilized for the following purposes including reimbursement of medical charges, reimbursement of health insurance premium for the staff upto BS-16, subject to the limits prescribed by the Central Inland Revenue Welfare Fund Board from time to time; stipend for education, marriage expenses, burial expenses, maintenance of transit accommodation and officers mess and construction or maintenance of the premises or the local chapters of Pakistan Taxation Club.
The Central Inland Revenue Welfare Fund may authorize and sanction expenditure for the following purposes after getting prior approval from the Central Inland Revenue Welfare Fund Board: personal loan; renovations and repairs of Government residences; purchase and repair of vehicles for pick and drop of staff; hiring of officials for the Fund related work; expenses to hold a function and activity, for common good of staff; subsidy and financial assistance to staff upto 8S-16 retired from service or any Other project or activity involving common welfare of the staff.
Central Inland Revenue Welfare Fund Board shall monitor and regulate expenditure of Regional Inland Revenue Welfare Funds and may place restrictions and curtail disbursement of funds under various heads. The audit of the Central and Regional Funds shall be carried out annually by a firm of chartered accountants or a firm of cost and management accountants appointed by the Central Inland Revenue Welfare Fund Board. The decisions shall be taken by the Central Inland Revenue Welfare Fund Board or by the Regional Inland Revenue Welfare Fund Boards by majority of the votes, provided that the dissenting votes shall be recorded, FBR added.