Jan 11, 2019 Chinese Embassy donates 4 X-Ray scanners to Customs

Chinese Embassy in Pakistan donated four X-Ray scanners to the Custom Wing of Federal Board of Revenue here on Friday.

The equipments were handed over by Mr Chen Wei, Counsellor of the Embassy of the People’s Republic of China in Islamabad to Dr Jawwad Uwais Agha, Member Customs (Operations), Federal Board of Revenue in the presence of other senior officers of Pakistan Customs.

The donated scanners, having value of One million RMB, shall be instrumental in supporting the Customs authorities at the airports to effectively utilize non-intrusive technology in preventing smuggling of contrabands especially currency.

The gift of 4 X-Ray scanners will reaffirm the immutable bonds of friendship and brotherhood between the people of Pakistan and China, to strengthen the unbreakable and timeless China-Pakistan friendship, and to promote Customs clearance facilitation in Pakistan. 

Hamid Raza Khan
Secretary PR FATE Wing

Dec 26, 2018 FBR offices to remain open on Saturday and observe extended working hours on Monday

All FBR offices (LTUs/CRTOs/RTOs) to remain open and observe normal working hours on Saturday (December 29, 2018) and observe extended working hours till 10:00pm on Monday (December 31) to facilitate the taxpayers in payment of duties and taxes.

The Chief Commissioners to establish liaison with State Bank of Pakistan and authorized branches of National Bank of Pakistan to ensure transfer of tax collection by these branches on December 31, 2018 to the respective branches of State Bank on Pakistan on the same date so as to account for the same towards the collection for the month of December 2018

Hamid Raza Khan
Secretary PR FATE Wing

Dec 19, 2018 Special benches constituted in superior courts for hearing of tax related cases

Special Tax Benches have been constituted in the honourable Supreme Court of Pakistan and the Lahore High Court for hearing of Tax related cases.

The Federal Board of Revenue had earlier provided the details of pending cases to the Supreme Court and the Lahore High Court with the request to formulate special tax benches. The Board also issued special instructions to the field formations to ensure that the departmental cases are properly prepared and represented before the courts when these are fixed for hearing.

Special Bench at the Supreme Court comprising Mr. Justice Umar Ata Bandial, Mr. Justice Munib Akhtar and Mr. Justice Yahya Afridi started hearing of cases around the middle of October 2018 while special bench at the Lahore High Court comprising Mr. Justice Shahid Jamil Khan and Mr. Justice Asim Hafeez have been hearing tax related cases since 23-10-2018. So far, the special bench at the honourable Supreme Court of Pakistan has decided over 122 cases whereas the special bench at the honourable Lahore High Court has decided over 265 tax related cases.

Formation of these Special Tax Benches is expected to speed up the hearing process and decisions in pending tax and expedite recovery of potential tax revenue.

Hamid Raza Khan
Secretary PR-FATE

Dec 15, 2018 17th December 2018 to be the last date for filing of Income Tax Returns

Federal Board of Revenue (FBR) has allowed filing of Income Tax returns until 17th December 2018 because of the weekend falling on 15th December which was previously announced as the deadline for filing of returns, says a statement issued by the FBR today.

The statement issued by the Official Spokesperson FBR says that a number of queries have been received about extension of last date of filing of return but the return filing date is not being extended any further. However, since the last date of filing of return falls on a non-working day, hence as per General Clauses Act the closing date for filing of Income Tax returns falling on 15th December 2018 as per previous announcement is automatically extended to next working day i.e. Monday the 17th of December. The tax offices will be extending help in filing of returns on Monday till close of office hours and the returns will be received electronically till 12 midnight.

Moreover, the Commissioners are also authorized to grant extension for a period up to 15 days on case-to-case basis. Although the receipt of return will not be blocked after due date, yet as per existing law, the names of persons who fail to file return by the closing date (or by the date extended by the Commissioners) will not be put on the Active Taxpayers List.

Hamid Raza Khan
Secretary (PR-FATE)

Dec 04, 2018 Certificate Distribution Ceremony of “Training of Trainers” for e-office implementation

Certificate Distribution Ceremony of “Training of Trainers” (Master Trainers) for e-office implementation was held at Federal Board of Revenue (FBR) in coordination with National Information Technology Board (NITB).

The e-office implementation started on directives of the Chairman Federal Board of Revenue, Mr. Jahanzeb Khan.

Information technology Wing FBR under Member IT, Mr. Khawaja Adnan Zahir was given the task to spearhead the E- office implementation.

E- Office Implementation program is being led by Ms. Syeda Adeela Bokhari and Ms, Javeria Hayat from Information technology wing and first step towards its implementation has been completed on December 4th, 2018.

Mr. Azhar Mehmood Janjua was the NITB Master trainer who trained more than 70 personnel for E- office Implementation from 15th November, 2018 till 4th December, 2018.

The closing ceremony was held at FBR Auditorium on 4th December followed with Certificate Distribution on the same day.

Hamid Raza Khan
Secretary (PR-FATE)

Nov 22, 2018 Government facilitating, not harassing, taxpayers, says FBR

Federal Board of Revenue (FBR) has said the government has facilitated the taxpayers by providing them a one-time option for closing the audit proceedings due to late filing of returns through the Finance Supplementary (Amendment) Act 2018.

In a statement, FBR has strongly denied news reports in a section of the print media accusing the taxation authorities of harassment of late filers, especially salaried individuals. The assertion by the media that FBR is pressurizing taxpayers for additional revenue through recovery of penalties reveals a lack of understanding about tax laws and their true intent.

FBR has clarified that an amendment in income tax law made through Finance Act 2015 by the previous government provided for automatic selection for audit if a person had not filed return of income by the due date stipulated under the law. Through Finance Act 2018 this amendment was withdrawn, however the cases that were automatically selected under the said provision prior to its withdrawal were still to be audited. This created a lot of problems for the taxpayers and also resulted in a large pendency of audit cases. Therefore, in order to facilitate the taxpayers, the present government, provided a one-time option to the taxpayers for closing the audit proceedings due to late filing of returns through the Finance Supplementary (Amendment) Act 2018.

Under the Finance Supplementary (Amendment) Act 2018, taxpayers were provided an option to get their audits closed on the payment of either 25% higher taxes than the tax paid with the return or in case no tax was payable 2% of the turnover and to file revised return by 31-12-2018. The salaried individuals whose cases were selected for audit due to late returns were facilitated by exempting them from the requirements of paying 25% higher tax and filing revised returns for closure of their audit cases. They however, had to pay only the penalty on account of delay in filing of return in order to get their audit cases closed. It is worth mentioning that the previous government had fixed the minimum penalty for late filing of return at Rs 20,000 through the Finance Act 2013 and no change has been made by the present government.

It is imperative to understand that the penalty proceedings are independent from audit which will be applicable regardless of whether the taxpayer avails the benefit under the above mentioned provision of the Finance Supplementary (Amendment) Act 2018 or not.

That is to say that even if the taxpayer chooses not to conclude its audit proceedings he or she would have to pay the tax charged as a result of audit proceedings as well as the penalty for late filing which, as mentioned before is an independent provision applicable on persons who were obliged to file their returns but filed the returns late. The present government tried to facilitate the salaried taxpayers by providing a one-time option to avoid additional tax liability under the audit proceedings.

Hamid Raza Khan
Secretary PR

Nov 22, 2018 Taxpayers can close audit by paying penalty or higher tax: Member FBR

All those taxpayers who have been selected automatically for audit u/s 214D due to late filing of returns for Tax Year 2015, 2016 and 2017, have now the opportunity for automatic closure of audit u/s 214E by paying the penalty or higher tax than previously filed return, whichever is applicable under the law, said Ms. Nausheen Javaid Amjad, Member Taxpayers’ Audit FBR.

She was chairing a seminar at auditorium of Corporate RTO, Karachi. The seminar was attended by the Chief Commissioner and Commissioner of LTUs and RTOs of Karachi. President of All Pakistan Tax Bar Association Mr. Abdul Qadir Memon, President Karachi Tax Bar Association Mr. Kahild Mehmood as well as a large number of lawyers, chartered accounts and tax practitioners also attended the seminar. She explained at length that the salaried persons or those whose income falls under the category of FTR/PTR have to pay penalty only to close their audits. However, taxpayers whose income falls under any other head of income, have to apply for revision of returns u/s 214E in IRIS system.

Mr. Umair Soomro, Senior Manager PRAL also demonstrated the IRIS working in this regard. He explained that a tab has been made available in the system for this task. The relevant Commissioner will approve the said request within three days or the system will automatically allow revision on the fourth day. The system will automatically calculate the tax due in both categories. Once the payment is made and relevant CPR is attached and submitted, the system will automatically close the audit proceedings. He explained that the CPRs shall be prepared u/s 214E specifically designed for the purpose. She adequately explained and highlighted all the aspects of the scheme. She briefed that the Section 214E is voluntary for taxpayers and has been announced for their facilitation however in cases where taxpayers are confident, they may opt for regular audit for assessment of their income tax affairs.  She also responded to the questions raised by the members of the tax bar and various persons present in the seminar. The facility for availing automatic closure of audit u/s 214E is available till 31 Dec 2018.

Member Taxpayers’ Audit further explained that Section 214D under which late filers were automatically selected for audit, has been deleted from the Income Tax Ordinance 2001 in the Finance Act 2018 due to undue hardships faced by new taxpayers and to facilitate the process of Broadening of Tax Base and is not applicable to the returns filed after 1st July, 2018.


Hamid Raza Khan
Secretary PR

FBR meets stakeholders to forge consensus on Track &Trace System for tobacco products

Federal Board of Revenue (FBR) has held a wide-ranging, interactive session with the stakeholders, including representatives from the World Bank, to develop and implement a track and trace system for the tobacco products.

The deliberations were made as part of a workshop arranged by FBR today (20th December, 2018) and attended by representatives of the Cigarette Industry, IT Solutions Providers and Enforcement Officers of FBR. The participants of the workshop unanimously agreed to welcome the new proposed Track and Trace System if it was implemented across the board in its true sprit by adopting a fair and transparent process. 

Earlier, the Director General (BTB) FBR Islamabad briefed the participants on the purpose and scope of the Track and Trace System and invited the participants of offer their input and suggestions to make whole process fair and transparent. Project Director, Track & Trace System (T&TS) FBR also briefed the participants in detail on the concerns and observations of the stakeholders and regulatory authorities on the track & trace system.

Addressing the workshop, representatives of leading tobacco manufacturing companies operating in Pakistan expressed their concerns about cost-effectiveness of the Track and Trace Project while the IT solution providers called for a generic RFP as a non-specific or restrictive RFP limited the scope of a level-playing field necessary for all potential bidders to participate in the bidding process.

Speaking on the occasion, the representative from the World Bank expressed willingness on behalf of his organization provide all assistance to FBR to make the bidding process of the system a success.


Hamid Raza Khan
Secretary (PR-FATE)