MULTAN: The Federal Board of Revenue (FBR) has failed to implement key recommendations made by the Federal Tax Ombudsman (FTO), opting instead to convert disciplinary actions against tax officials into mere warnings.
The FTO had initially recommended strict disciplinary proceedings under the Efficiency and Discipline (E&D) Rules 2020 against officers responsible for failing to submit timely para-wise comments on tax-related matters, despite repeated notices.
Additionally, the FTO had called for a detailed investigation by the Directorate of Internal Audit (Customs) and the Directorate of Internal Audit (Inland Revenue) into the issues raised in the complaint, ensuring the complainant was given a proper opportunity to be heard.
However, the FBR filed a review petition under Section 14(8) of the Federal Tax Ombudsman Ordinance, 2000, and Section 13(1) of the Federal Tax Ombudsman Institutional Reforms Act, 2013, seeking to withdraw the FTO’s recommendations for an inquiry and disciplinary proceedings.
In response, the FTO modified its order, directing the FBR to issue strict warnings to the responsible officers instead of initiating formal disciplinary actions. This decision has raised concerns about accountability within the tax department, as officials accused of negligence have been let off with minimal consequences.
The implications of this development are significant, particularly for taxpayers in Multan and across Pakistan. The failure to hold tax officials accountable for delays and negligence could lead to further inefficiencies in the tax system, affecting businesses and individuals who rely on timely resolutions to their tax-related issues. The FBR’s reluctance to enforce strict disciplinary measures may also undermine public trust in the tax administration.
Taxpayers and stakeholders are now urging the FBR to ensure transparency and accountability within its ranks. The FTO’s role as an independent body to address grievances is crucial, and its recommendations must be implemented to maintain the integrity of the tax system.
The decision to downgrade disciplinary actions to warnings has sparked a debate about the effectiveness of oversight mechanisms in Pakistan’s tax administration, highlighting the need for stronger accountability measures to ensure efficient and fair tax administration.
