LAHORE:Federal Tax Ombudsman (FTO) Dr Muhammad Asif Jah said on Monday the institution of FTO was using all legal powers and resources to check individual and system based maladministration in FBR (Federal Board of Revenue) to restore taxpayers’ confidence in tax administration in the larger interest of the country. Talking to members of All Pakistan Textile Mills Association (APTMA) here, he said only a fair, just, easy and efficient tax system could ensure better revenue collection, which was vital for country’s growth. He was welcomed by Chairman APTMA Abdul Rahim Nasir, Chairman Northern Zone Hamid Zaman, Senior Vice Chairman Kamran Arshad and Secretary General APTMA Raza Baqir. Dr Asif Jah said the office of FTO was not only handling the complaints received from taxpayers but also through its mechanism of own motion cases and inspections, it was hectically engaged to check maladministration in tax administration and make recommendations. He emphasized the point that the FTO institution provided cost free, efficient and merit based mechanism to aggrieved persons.
Also, it checks revenue leakages and contribute towards ensuring a better tax collection deterrence to the corrupt tax officials, he said. He said the outreaching programme of FTO office was one of the key functions of his office, adding that FTO office would end of the culture of non-responsive attitude of tax officers to the taxpayers, as he was issuing instructions to the Chairman FBR In this regard. The FTO added that he would ensure its implementation as well. The FTO also sought APTMA’s representation in the Advisory Committee of FTO Lahore for resolution of tax issues faced by the members of Association. He urged the FBR senior officers to enhance interaction with business community for an early resolution of their problems. On the issue of missing amounts of refund claims of the export-oriented industry, he advised the members of the Association to file complaints with the office of FTO for officially taking up the matter with FBR.
He told the APTMA members that the office of FTO had received 3,888 cases in 2020 with a disposal of 3,555 cases in the same year. The ratio of acceptance of the FTO recommendations stood at 80.03 percent while only 19.9 percent were challenged by the competent authority. He said the average disposal time was 48.61 days in 2020. The office of FTO had carried out 35 research studies in 2020 as well, he added. Dr. Asif Jah appreciated the role of textile industry in the economy and exports of the country and promised to take all possible measures to attend to the issues and concerns raised by the APTMA members. He said no country could grow without facilitating its business community. He urged the trade and industry to consider the FTO office as their own advocate against high handedness by the tax functionaries. He reiterated that his office was for the service of genuine and honest taxpayers with the mandate of eliminating maladministration from the tax machinery. Earlier, speaking on the occasion, Abdul Rahim Nasir welcomed the appointment of Dr. Asif Jah as Federal Tax Ombudsman. He also thanked the Ombudsman, Chief Commissioners Inland Revenue, Chief Collectors Customs, Director Intelligence & Investigations, Advisors and other senior officers from FBR and FTO for visiting the APTMA to listen to taxpayers issues.
Rahim Nasir apprised that the textile industry was mainstay of Pakistan’s economy with 60 percent share in total exports and 40 percent share in manufacturing sector employment. With the injection of new investment of US $ 5 billion in textile sector, 100 new plants would be added during the year to provide 500,000 jobs. He said that with the help of regionally competitive energy tariff of 9cent/Kwh for electricity and US $ 6.5/MMBTU for gas, textile sector was poised to achieve current’s export target of US $ 21 billion this year and US $ 50 billion during the next five years. Hamid Zaman, Zonal Chairman, APTMA highlighted major tax concerns of the business community. He severally criticized FBR circular empowering field officers with the powers of attaching bank accounts without any prior intimation. He said the said circular was contrary to scores of decisions by the superior courts that recovery could only be affected after the liability was established at least at the level of an independent forum. He added that the new circular would promote cash economy due to risks of seizing bank deposits of taxpayers by FBR.
Zaman demanded withdrawal of the condition of payments in digital mode. He said there was no justification for substituting the existing mode of payment through crossed cheques and banking channel which were well serving the purpose of documentation of economy. Kamran Arshad, Senior Vice Chairman presented a vote of thanks to the visiting FTO, senior FBR and FTO officers and hoped that FTO would adopt all possible measures for the resolution and redressal of these grievances. Malik Naeem Khan, Vice President All Pakistan Aluminum Manufacturing Association, and Malik Tallat Suhail, representative from PCGA/FPCCI also raised the issues of their respective sectors on the occasion.