The Federal Tax Ombudsman (FTO) has directed the Federal Board of Revenue (FBR) to implement an effective mechanism between the Directorate General of Intelligence and Investigation Inland Revenue and Regional Tax Offices (RTOs) to safeguard the state revenue.
The complaint was filed against the Directorate General of Intelligence and Investigation Inland Revenue Multan for non-compliance to the Appellate Tribunal Inland Revenue order for the release of confiscated local branded cigarettes.
FTO has directed the Chief Commissioner IR RTO, Multan, and Director I&I IR Multan to implement the orders of the Appellate Tribunal Inland Revenue.
Details revealed that a transport service provider deals in the retail sale of goods and beverages. The Directorate of Intelligence and Investigation Inland Revenue Multan seized 120 cartons of locally branded cigarettes along with the vehicle with the allegation and assumption that the complainant was transporting and supplying illicit, counterfeit and non-duty-paid cigarettes.
The driver of the vehicle submitted the commercial invoice, but the intelligence staff illegally seized the goods with the consignment.
The Appellate Tribunal passed an order with the observation that the confiscation of 120 cartons of locally branded cigarettes with the vehicle and the demand of the federal excise duty (FED) has been made without confirming the record and giving a reason without any justification.
The tribunal has no hesitation to delete the charges leveled in the order. The Appellate Tribunal has also directed the FBR’s field office to release the seized cartons of cigarettes unconditionally.
Consequent to the order of the Appellate Tribunal, the complainant approached the directorate of Intelligence and Investigation (IR) Multan to release the cartons along with the vehicle. However, more than 5 months have lapsed but the goods and the vehicle are still in the custody of the officials which is direct contempt of the order passed by the Appellate Tribunal.
The officials of the Directorate of Intelligence and Investigation (IR) are misusing their position to harass the complainant by not responding to his request.
FTO order stated that evidently Directorate of Intelligence and Investigation (IR) Multan submitted the case to the Regional Tax Office (RTO) Multan for adjudication. The FBR official adjudicated the case. Being aggrieved the complainant filed an appeal before the Commissioner IR (Appeals) Multan who dismissed the appeal and confirmed the order of the Inland revenue officer.
Later, the complainant filed an appeal with the Appellate Tribunal which directed that the vehicle and cartons be released unconditionally and deleted the charges leveled in the order being against the facts and law.
The complainant has approached the forum of the FTO for implementation of the order passed by the Appellate Tribunal.
It has been found that the Director I&I IR Multan requested the RTO Multan to take possession of the confiscated goods/vehicle after firming upto the seizure report, but the department has failed to do so and the goods are still lying with the Director I&I IR Multan.