Finance Minister Ishaq Dar has stated during a press briefing on 11 July at the Press Information Department that he found out on 3 July that his tax returns from 1981-2002 had not been provided to JIT by the FBR. The Minister claimed that he had filed his tax returns in those years but claimed that National Accountability Bureau (NAB) had appropriated his tax records in 2002 during the regime of General (retd) Pervez Musharraf.
"When I came to know that may tax returns are not with the JIT, I sent copies to JIT but I regret that this was not mentioned in report," he stated.
"I told them that I will take disciplinary action against those who did not provide you with the requisite documents and will send you the documents," he claimed to have told the JIT.
"I told them that my tax guy had told me that after General Musharraf's coup, my tax records had been confiscated by NAB. I also told the JIT that NAB is your institution and you should find it. And even if you cannot find it then I will find it on my own. I retrieved my tax records and sent my returns from 2003-07 immediately the same day," he claimed. "At 8:55pm they were delivered to JIT and I have their receipt," he further claimed.
The report contended that limited Dar's tax record was available with the FBR. His IT returns are missing from 1981/82 till 1985/86. Wealth statements were not provided by the FBR from assessment year 1994/95 till 2001/02 and tax year 2002/03 till 2007/08 despite repeated requests.
The Finance Minister then detailed his 'hectic efforts' to dig out old record from NAB's Lahore and Islamabad offices and send the same to the FBR. When Business Recorder contacted tax experts on Wednesday, they stated that only those tax records including returns/wealth statements are admissible if these are cross verified by the tax department, FBR. However, merely affixing official stamps on documents without any cross verification including Diary number/Dak receipt, register number or return receipt cannot be treated as a validly filed tax document.
Copies are not acceptable unless attested by the concerned tax office and even the un-attested copies should show signatures and stamp of the tax officer who received them. At the same time, court has the discretion to accept copies if other evidence like tax paid challans are submitted along with the tax documents. JIT reported to the Supreme Court that "Mr. Dar did not file income tax returns from 1981/82 to 2001-02. Being an economic expert and part of ruling elite this is prima facie tantamount to tax evasion".
An exorbitant increase in Ishaq Dar's assets was observed since year 2008/09 for which source of funds/income and details were not furnished despite repeated requests/opportunities. "Analysis of financial details of his assets and record of FBR reflects dichotomies on mis-declaration of assets, is tantamount, prima facie, to hiding of assets and tax evasion," the report adds.
Copyright Business Recorder, 2017