Prime Minister Muhammad Shehbaz Sharif on Tuesday took notice of the “willful” delay in tax cases and ordered for suspension of Commissioner Inland Revenue Islamabad and other relevant officials.
While issuing a directive for the suspension of all the relevant officials, the prime minister also asked for initiating an inquiry against them, PM Office Media Wing said in a press release.
As per details, cases worth billions of rupees related to government revenue have been pending adjudication in the Tax Tribunals.
Recently, the prime minister took notice of one of these pending cases in which an FBR counsel had sought adjournment and directed the relevant authorities to inquire into the matter.
The prime minister observed that the national exchequer had been suffering due to the pendency of such cases involving billions of rupees in tax matters.
PM Sharif made it clear that he would not tolerate any kind of lethargy in pursuance of such legal matters, and under his pledge to the nation, would continue monitoring the tax reforms.
“For enhancing the revenue and saving every penny of the nation, the government would have to strive day and night,” the press release quoted the prime minister as saying.Soon after assuming office, the prime minister directed immediate reforms in the Federal Board of Revenue (FBR) and decided to oversee the process himself. He had also requested the Chief Justice of Pakistan (CJP) for the early disposal of such cases.
According to a media report, the government is contemplating legislation to dissolve the offices of the FBR’s Inland Revenue Appeal Commissioner, where cases worth Rs1.15 trillion are experiencing delays.
Currently, 145,036 tax-related cases involving Rs 4.23 trillion are awaiting resolution in various courts in the country.
As per FBR officials, 19,528 cases, amounting to Rs740 billion, are pending across four high courts.
Additionally, the Supreme Court is reviewing 3,455 cases involving Rs1.40 trillion. Tax disputes have tied up another Rs2.23 trillion of federal funds.
The Prime Minister’s action to suspend officials and initiate inquiries into delayed tax cases reflects a commitment to improving revenue collection efficiency. With billions at stake, addressing this backlog is crucial for Pakistan’s fiscal health. Collaboration with the judiciary and proposed legislative reforms signal a proactive approach to resolving tax disputes and fostering a favorable business environment.
Seriously the tax systems of the country needs to be improved.
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