The Federal Board of Revenue (FBR) has made it mandatory for state-owned enterprises (SOEs) to resolve their tax-related disputes with the Federal Board of Revenue (FBR) through the forum of the alternate dispute resolution committees (ADRCs).
The FBR has issued an S.R.O. 1377(I)/2024 on Friday to amend Income Tax Rules, 2002.
In the case of a state-owned enterprise, this rule shall apply
to any dispute irrespective of the amount of liability of tax and the state-owned enterprise must apply to the Board for appointment of a Committee if it is aggrieved, the new rules said.
Any person or class of persons including a state-owned enterprise seeking resolution of any dispute shall submit a written application for alternate dispute resolution to the Board in the Form as set out in Part I of the Schedule to this rule.
The Board shall notify a panel comprising officers of Inland Revenue Service retired in BS-21 and above, chartered accountants, cost and management accountants, advocates, having a minimum of ten years experience in the field of taxation, and reputable businessmen, in accordance with eligibility criteria specified in Part II of the Schedule to this rule.
The member of the Committee mentioned shall provide secretariat support to the committee, FBR added.
The Committee may determine the issue and may thereafter seek further information, data, or expert opinion or make or cause to be made such inquiries or audits as it may deem fit. It shall decide the dispute by majority within forty-five days of its appointment, extendable by another fifteen days, for reasons to be recorded in writing.
The decision of the Committee shall be binding on the Commissioner when the applicant; being satisfied with the decision, has withdrawn the appeal pending before the court of law or any appellate authority in the form as set out in Part III of the Schedule to this rule and has communicated the order of the withdrawal to the Commissioner: Provided that if the order of the withdrawal is not communicated to the Commissioner within sixty days of the service of decision of the Committee upon the aggrieved person. the decision of the Committee shall not be binding on the Commissioner.
On receipt of the Committee’s decision, the applicant shall make the payment of income tax and other taxes as decided by the Committee under this rule and all decisions and orders made or passed shall stand modified to that extent.
Members of the Committee appointed shall, on the committee’s decision to accept the application, be paid a lump sum one-time remuneration of one hundred thousand rupees each for their services. The Board shall pay the remuneration specified from its budget allocation within fifteen days of the committee’s decision being received, FBR added.
Follow ProPakistani on Google News & scroll through your favourite content faster!
Support independent journalism
If you want to join us in our mission to share independent, global journalism to the world, we’d love to have you on our side. If you can, please support us on a monthly basis. It takes less than a minute to set up, and you can rest assured that you’re making a big impact every single month in support of open, independent journalism. Thank you.
