Customs Today
  • Home
  • Islamabad
  • Karachi
  • Lahore
  • National
  • Transfers and Postings
  • Chambers & Associations
  • Business
No Result
View All Result
Customs Today
  • Home
  • Islamabad
  • Karachi
  • Lahore
  • National
  • Transfers and Postings
  • Chambers & Associations
  • Business
No Result
View All Result
Customs Today
No Result
View All Result
Home Breaking News

FBR must ensure recovery notice to defaulters before taking action: President MTBA Malik Khadim Hussain

byCT Report
01/01/2022
in Breaking News, Interviews, Latest News, National, Slider News
Share on FacebookShare on Twitter

MULTAN: The Federal Board of Revenue must ensure recovery notice to tax defaulters before taking any extreme action. President Multan Tax Bar Association Malik Khadim Hussain Maitla has demanded that Chief Commissioners Inland Revenue strictly directed to arrive at rational decision before exercise of extreme measures of recovery adopting the mode provided u/s 140 of the Income Tax ordinance, 2001 to mitigate the costs of various types including opportunity cost, legal remuneration and man-hours spent on preparing appeals and defending cases before various appellate forums.

He was addressing Multan Tax Bar Association regarding the service of recovery notices u/s 140(1) of the income tax ordinance 2001 to taxpayers in terms of Rule 210 C(2) of the Income tax Rules 2002.

You might also like

Pakistan’s leading oil refineries warn of shutting down production over smuggling

21/05/2026

Pakistan draws final tranche of $1.2b Saudi oil facility

21/05/2026

He stated that we would like to avail this opportunity to identify failure of field officers regarding fully compliance of Board Letter C.No.7(20)S(IR-Operations)/2020 dated 12.10.2021 in which Chief Commissioners Inland Revenue strictly directed to arrive at rational decision before exercise of extreme measures of recovery adopting the mode provided u/s 140 of the Income Tax ordinance, 2001 to mitigate the costs of various types including opportunity cost, legal remuneration and man-hours spent on preparing appeals and defending cases before various appellate forum.

He said that tax consultants and advisors are evident that all notices/orders are required to be issued electronically except recovery notices issued to banks by virtue of No.1(177) S (IDT-FATE)/2015/133497-R dated 29.09.2015.

Moreover, afterwards Recovery Rules by inserting of Chapter XVIA Recovery of Tax From Persons Holding Money on Behalf of a Taxpayer introduced by the Board through S.R.O. 274(I)/2020 dated 02.04.2020. Rule 214C(2) clearly directed the field formations to forward a copy of the notice to the defaulter taxpayer. The Federal Board of Revenue has adopted convenient, extract of said Rule is reproduced hereunder:210C.

The Commissioner shall also forward a copy of the notice to the defaulter at his last known address, and in case an account or money is held jointly, to all the joint-holders on their last known address. The language of above provision is clearly indicate that it is mandatory and not directory but it is observed through various complaints received at the office of undersign, that field formation while exercising the powers mentioned in Chapter XVIA of Income Tax Rules, 2001 didn’t bother to observe and follow as per its true spirit and none of any notice ever been issued u/s 140 of the Income Tax Ordinance, 2001 to defaulter taxpayers.

Being concern for mitigate the litigant costs bear by the FBR before appellate forums, Multan Tax Bar Association suggested to issue necessary directions to all Chief Commissioners and concern field formations to strictly observe the true spirit of statute and they make sure to forward the copy of notice u/s 140(1) forthwith to defaulter taxpayer through manual and as well as electronic medium.

He concluded that Multan Tax Bar Association has submitted its concerns to Chairman Federal Board of Revenue for sorting out said issue.

 

Related Stories

Pakistan’s leading oil refineries warn of shutting down production over smuggling

byCT Report
21/05/2026

ISLAMABAD: Five of Pakistan’s largest oil refineries on Thursday warned that increasing smuggling of petroleum products is threatening refinery operations...

Pakistan draws final tranche of $1.2b Saudi oil facility

byCT Report
21/05/2026

ISLAMABAD: The federal government has fully utilised a $1.2 billion oil facility from the Kingdom of Saudi Arabia (KSA), with...

FBR imposes Rs2.7b penalty on Gerry’s Dnata in electronics smuggling case

byCT Report
21/05/2026

ISLAMABAD: The Federal Board of Revenue has imposed penalties worth Rs2.7 billion on Gerry’s Dnata after adjudication orders found the...

Punjab leads sales tax collection growth with 38pc increase

byCT Report
21/05/2026

LAHORE: Punjab recorded the highest growth in sales tax collection on services among all provinces during the first nine months...

Next Post

Pakistan rings in the new year with Rs4 hike in petrol price

  • Terms and Conditions
  • Disclaimer

© 2011 Customs Today -World's first newspaper on customs. Customs Today.

No Result
View All Result
  • Transfers and Postings
  • Latest News
  • Karachi
  • Islamabad
  • Lahore
  • National
  • Chambers & Associations
  • Business
  • About Us

© 2011 Customs Today -World's first newspaper on customs. Customs Today.