All Inland Revenue Service (IRS) officials/officers would submit undertakings/declarations to the Federal Board of Revenue (FBR) that they are not indulged in any private consultancy/tax practices for companies and other taxpayers.
In this regard, the FBR issued instructions to the field formations on Friday.
According to the FBR’s instructions to the heads of the field formations, all employees of FBR were directed vide circular of 2022 to completely abstain from private consultancy/ tax practice. However, it has come to the notice that some employees of FBR are still indulging in private consultancy/ tax practices.
Forgoing in view, the competent authority has directed that heads of Inland Revenue offices of FBR should obtain an undertaking from all officers/ officials posted under their administrative control, that they are not indulged in any private consultancy/ tax practices. All heads of field formations of FBR will provide a certificate within seven days to Board that undertaking from all officers/ officials posted under their administrative control has been obtained.
The FBR’s circular of April 28, 2022, revealed that the Federal Tax Ombudsman (FTO) initiated an Own Motion Investigation regarding private practice by the employees of FBR who joined local chambers or opened their own law offices and rendered legal assistance to taxpayers in the evenings or during office hours.
Findings were recorded that many of the officers/officials of FBR associate themselves with different taxpayers and provide legal assistance to them in various taxation matters in total disregard of the instructions under the Government Servants (Conduct) Rules, 1964 whereunder no government servant is allowed to engage in any trade or undertake any employment or work, other than his official duties, except with the previous sanction of the government.
Furthermore, Establishment Division clearly prohibits the undertaking of private work by government servants. FBR has already issued instructions on the matter and advised all its employees not to indulge in private consultancy/ tax practice.
FBR Chairman has taken a serious view of the matter and all FBR employees have been again advised to completely abstain from private consultancy/ tax practice. Inland Revenue Operations Wing will put in place a strong monitoring mechanism to ensure compliance with FTO instructions. In the future, if any officer/ official is found involved in such practice, strict disciplinary action shall be taken under Civil Servants (E&D) Rules, 2020, FBR added.
