Daily Tax News

The Supreme Court on Tuesday grilled the chairmen of National Accountability Bureau and Federal Board of Revenue on their failure to take any step in the Panamagate case, observing if the NAB and the FBR have no jurisdiction then who will take action in the matter. Appearing before a five-member larger bench led by Justice Asif Saeed Khan Khosa in the Panamagate case, Chairman NAB Qamar Zaman Chaudhry submitted that without clearance of any regulator, the Bureau cannot take action in the matter. Expressing surprise Justice Khosa observed who the regulator of the chairman is, whereas a member of the bench Justice Gulzar Ahmed remarked, "Are you regulated by someone?" Justice Khosa further observed that term regulator is also used by the Qatari prince in his letter to Supreme Court which he wrote in favor of Sharif family in the Panamagate case. Justice Khosa said that he is unable to comprehend who is the regulator in Pakistan. Responding to a query of the bench wh...

The Federal Board of Revenue (FBR) has found that banks do not have standardized system of deductions and payments of withholding tax under various provisions of the Income Tax Ordinance 2001. Sources told that the issue of deduction of withholding tax by banks was discussed threadbare during Withholding Tax Commissioners' Conference held at the FBR House. In their presentation on banks, the officials of the RTO Rawalpindi informed the FBR about the study conducted by the said RTO on 'Banks Withholding Regime.' The RTO Rawalpindi recommended that the centralized system gives control to banks' head offices. If properly audited/monitored by IR formations enjoying jurisdiction over banks, it entails effective & efficient payment system, otherwise current central GL A/Cs are suspected to be hubs of tax evasion and tax fraud because huge pool of money is available to banks, liable to be misused. Banks should be directed to issue deduction certificate of each ...

National Assembly Standing Committee on Finance has asked the Federal Board of Revenue (FBR) to come up with a proposal of a new amnesty scheme to be offered to Pakistanis, including resident citizens, for repatriation of their fund and assets from abroad. During a meeting of the finance committee presided over by Qaiser Ahmed Sheikh here on Tuesday, the members of the ruling party stated that there is a growing demand for a tax amnesty scheme from the business community. Ruling party's member Mian Abdul Mannan stated that Prime Minister Nawaz Sharif has agreed to the demand of business community and directed Finance Minister Ishaq Dar to work on it. The chairman of the committee asked the FBR to give a proposal while business community would also be asked for a proposal to be offered to the Pakistanis for repatriation of their wealth/assets and fund to Pakistan. During discussion on FBR audit policy, the members of the ruling party strongly criticized their own government...