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Home Breaking News

FTO takes suo moto action to address hardships stemming from SRO 350(1)/2024 implementation

byCT Report
25/10/2024
in Breaking News, Latest News, National, Slider News
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 MULTAN: The Federal Tax Ombudsman (FTO) initiated a suo moto action to address complaints raised by various tax advisors, including Mr. Muhammad Imran Ghazi, General Secretary of the Multan Tax Bar Association (MTBA), in a significant development.

The investigation, conducted under Section 9(1) of the Federal Tax Ombudsman Ordinance, 2000, aimed to resolve the challenges faced by sales tax registered persons following the introduction of SRO 350(1)/2024.

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The Multan Tax Bar Association, in collaboration with the Pakistan Tax Advisors Association, played a key role in highlighting the adverse effects caused by the SRO. The directive had restricted input tax adjustments unless corresponding suppliers filed their returns, leading to substantial disruptions in the supply chain and generating fictitious sales tax demands. This, in turn, significantly impacted business operations, creating widespread concerns within the business community.

The efforts of the MTBA and other stakeholders brought these issues to the attention of the FTO, prompting recommendations aimed at alleviating the difficulties encountered by taxpayers. Among the key measures suggested were updates to the Iris system in line with SRO 1130(1)/2024, additional facilitation for the filing of sales tax returns, and consideration of an extended grace period for return submissions.

The intervention by the FTO, under the leadership of Mr. Asif Mehmood Jah (Hilal-i-Imtiaz, Sitara-i-Imtiaz), has been widely appreciated for addressing maladministration concerns and ensuring corrective measures to support taxpayers in Pakistan. His proactive approach has garnered praise from the MTBA and the Pakistan Tax Advisors Association, who have expressed their gratitude for the relief provided to affected taxpayers.

This case underscores the crucial role played by the FTO in maintaining transparency and accountability within the tax administration, demonstrating a strong commitment to resolving taxpayer grievances and facilitating smoother business operations across the country.

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