ByIslamabad, Pakistan– The Federal Tax Ombudsman (FTO) has initiated an investigation against the Federal Board of Revenue (FBR) and its Large Taxpayer Office (LTO) for allegedly violating binding orders issued by higher courts in tax refund matters.
The FTO has issued notices to the Secretary Revenue Division and the Chief Commissioner Inland Revenue, LTO, requiring them to submit comments on the allegations by September 16, 2024. Business Recorder
Tax lawyer Waheed Shahzad Butt highlighted that the FTO will examine the FBR’s alleged disregard for appellate court orders and the potential misuse of taxpayer funds. Butt emphasized the urgent need to address this issue, as the actions of FBR tax employees are creating a climate of distrust and financial hardship for compliant taxpayers.
The recent incident at the FBR Lahore offices, involving the intervention of the Federal Investigation Agency (FIA), serves as a stark reminder of the FBR’s alleged malpractices. The new FBR Chairman must take decisive action to address these issues and restore public confidence in the tax administration.
The FTO’s investigation is expected to shed light on the extent of the FBR’s alleged violations and may lead to significant reforms within the tax administration system.
