LAHORE: The Federal Board of Revenue (FBR) has seized 32 accounts of Water and Power Development Authority (Wapda) due to non payment of sales tax.
As per details, Wapda was liable of paying Rs 6 billion as GST on production of hydro power, for which Federal Board of Revenue (FBR) issued notice. After receiving notice, Wapda filed a petition challenging FBR’s notice regarding the recovery of tax in Lahore High Court (LHC). The lawyer representing Wapda argued it was not lawful to send a notice as the GST issue was still pending before tax commissioner. He added that FBR has warned that accounts of Wapda will be blocked if it fails to pay GST.
Justice Syed Mansoor Ali Shah passed the stay order and restrained FBR from recovering of sales tax from Wapda. The court also ordered the tax commissioner to resolve the matter within 6 weeks while disposing of the petition.
