While talking to reporters here at the FBR headquarters on the occasion of launch of different projects, Special Assistant to PM on Revenue Haroon Akhtar Khan, "The limitation of the FBR under the law convinced the Supreme Court of Pakistan to exclude the representative of tax machinery from the upcoming JIT but if need arises , the FBR is ready to extend its full co-operation to the joint investigation team."
Flanked by Chairman FBR Dr Mohammad Irshad, Haroon Khan said it is a good omen for the FBR that the SC did not include FBR's representative into JIT for probing the Panama Papers case as the FBR's stance convinced the judges that the income tax law did not permit the tax machinery to open tax cases beyond a five-year period.
The FBR, he said, has thoroughly completed its investigations and duly submitted its report to the SC. The FBR has fulfilled all the legal obligations and submitted the record of all investigations pertaining to the 400 Pakistanis having offshore companies in tax havens. The probe is under way in cases where the owners of offshore companies have responded to the notices of the FBR.
To another query regarding some negative remarks of the SC judgements regarding the FBR in the Panama papers case, he said that the tax machinery followed the required process in accordance with law. "We are acting in accordance with law," he said and added that he respected the judgement of the judges of the SC.
He said that the law does not permit the FBR to open past record beyond five years. "If the law has not empowered the tax officials to reopen past cases beyond a specific period, how can we go 50 years back? If we try to open past record beyond the prescribed limit, it would be unfair and not permissible under the law. In such cases general public would suffer a lot," he said.
To a query, he said the section 214(a) of the Income Tax Ordinance does not allow FBR to reopen cases beyond a five-year period. Asked about section 214-A for opening up cases beyond any such limit of five years, the SA to PM said that there was no clear-cut authority given under this section and the FBR is required to strike a delicate balance in this regard because nobody would be safe in the country if FBR decides to use such powers.
Regarding downward revision in tax collection target for the outgoing fiscal year, he said that the FBR had faced a shortfall of Rs 122 billion for not passing on the burden of POL prices to domestic consumers. The other factors included reduced GST on fertiliser and pesticides, and other relief measures but the government would not slash down its envisaged target of Rs 3,604 billion.
"Even if the target is not achievable the tax machinery would try to get close to the assigned tax projections," he added. To another query regarding obtaining advance income tax, Chairman FBR Dr Irshad said that advance tax is collected in four equal instalments. The instalments of tax was done for facilitating the taxpayers, however collection through advances was neither done before nor would such methods be used this time to increase revenue collection for the outgoing fiscal year, he added.
The Federal Board of Revenue (FBR) has launched a state-of-the-art Customer Relationship Management (CRM) system to respond to queries and complaints of taxpayers and general public promptly and efficiently. "Our customer care and facilitation services are now venturing into a more response regime where all queries, complaints and concerns of our valued taxpayers will be responded within 48 hours through the CRM," said Chairman FBR Dr Muhammad Irshad while inaugurating the Complaint Management System here at the FBR House.
He said the installation of the CRM was a great leap forward and a vast improvement on the previous arrangement which lacked a proper mechanism for tracking, categorising, monitoring and archiving taxpayers' complaints which took two to three months for their resolution. "In a very short span of time, we focused on these problems and came up with solutions that have significantly improved taxpayer facilitation," he said.
Earlier, explaining the major features of the CRM, Member Information Technology FBR Nausheen Javed Amjad disclosed that with the installation of the CRM, the number of agents in call centres and email teams has also been increased to meet the increased demand during peak hours. Similarly, training manuals in professionalism and courtesy, income tax, sales tax & FED had also been prepared and staff trained in them to improve quality for calls received and emails responded. The hold time has been reduced to 30 seconds while 80 % emails are being responded within 24 hours. Due to success of CRM, it has been introduced at field offices of FBR as well to digitally communicate with FBR (HQ) regarding software-related issues.
Meanwhile, Chairman FBR Dr Muhammad Irshad had a busy day as he launched and introduced various projects and initiatives, including inauguration of a daycare centre, newly-established conference rooms and administration of oath to Dr Saleem Ahmad Ranjha on his appointment as the first CEO of FBR Foundation.
Earlier, he accompanied Special Assistant to PM on Revenue Senator Haroon Akhtar Khan who inaugurated a specially designed and constructed ramp at the entrance of FBR House to facilitate entry of physically handicapped visitors. Both the dignitaries also planted saplings in the lawns of the FBR House. A newly-constructed driveway leading to the gate at the back of FBR House to the main building was also inaugurated. At a separate ceremony, selection of FBR employees and Revenue Division for performance of Hajj was also made through a ballot. Later, Senator Haroon Akhtar Khan and Chairman FBR Dr Muhammad Irshad had a brief interaction with the media persons. Copies of recently updated and published tax law books and brochures of FBR as well as Annual Report for the year 2016 by the Directorate General of Intelligence & Investigation Inland Revenue were also presented to media persons.
Copyright Business Recorder, 2017