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

President endorses FTO’s decision on excessive taxation on electricity bills

byCT Report
19/03/2024
in Breaking News, Islamabad, Latest News, Slider News
Share on FacebookShare on Twitter

ISLAMABAD: President Asif Ali Zardari has endorsed the Federal Tax Ombudsman’s decision to alleviate the miseries of power consumers by checking income tax and sales tax on electricity bills of low-income earners.

The FTO’s directive, urging the formation of a committee by the Federal Board of Revenue (FBR) to address excessive taxation on electricity bills, has received validation from the president. This decision follows the rejection of twenty representations filed by the FBR challenging the FTO’s orders.

You might also like

LPG prices rise to Rs410 per kg across Pakistan

24/07/2026

FBR to suspend online tax services for scheduled maintenance from Aug 8

24/07/2026

Under Section 10(1) of the Federal Tax Ombudsman Ordinance, 2000, complaints were lodged by individuals, predominantly low-income earners, contesting the withholding of Income Tax and Sales Tax on their electricity bills. Despite their earnings falling below the taxable income threshold, they were subjected to various taxes, prompting them to seek recourse through the FTO.

The FTO’s investigation revealed a uniform imposition of Electricity Duty (ED) on consumers, regardless of income levels, exacerbating the financial burden on taxpayers. Furthermore, discrepancies were noted in the timely remittance of ED to Provincial Energy Departments, with instances of misuse and misallocation of collected funds.

Of particular concern was the absence of clarity regarding the legal status of ED collection by distribution companies, raising questions about the legitimacy of associated taxes levied by the FBR. Additionally, revelations of cross-provincial discrepancies and outstanding dues highlighted systemic deficiencies in the taxation framework.

To address these issues, the FTO recommended the establishment of a committee comprising members from relevant departments, including LTO, LESCO, and the Punjab Energy Department.

This committee would devise strategies to review the entire ED regime and associated taxes, aiming to provide relief to ordinary consumers and taxpayers, FTO findings further added.

The President’s decision to uphold the FTO’s directive underscores the imperative of addressing the unjust taxation burden on citizens.

It emphasizes the need for collaborative efforts among stakeholders to reformulate taxation policies, ensuring fairness and alleviating the financial strain on taxpayers.

Related Stories

LPG prices rise to Rs410 per kg across Pakistan

byCT Report
24/07/2026

ISLAMABAD: LPG prices have increased sharply across Pakistan, with liquefied petroleum gas being sold at Rs370 to Rs410 per kilogram...

FBR to suspend online tax services for scheduled maintenance from Aug 8

byCT Report
24/07/2026

ISLAMABAD: The Federal Board of Revenue (FBR) on Friday announced that its key online tax services will remain temporarily unavailable...

SMEDA showcases MSME support services at Expo Faisalabad 2026

byCT Report
24/07/2026

FAISALABAD: Building on the success of its flagship “Made in Pakistan - SME Cluster Showcase Expo 2026” and its facilitation...

Protecting, educating children to make Pakistan stronger: FPCCI

byCT Report
24/07/2026

LAHORE: Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Atif Ikram Sheikh has said that protecting, educating, and...

Next Post

Punjab presents ‘mini-budget’ worth Rs4,480b

  • 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.