Sources told Business Recorder here on Tuesday that the FBR is analysing different options to chalk out a time-bound amnesty scheme for the regularisation of un-disclosed assets like vehicles, plots and houses/bungalows on payment of some nominal amount of taxes.
However, the FBR is examining various ideas to finalise some kind of attractive 'Assets Amnesty Scheme' for the general masses. Once the idea is finalised, some workable scheme may be considered by the tax authorities with ample legal backing under Income Tax Ordinance 2001. The estimated revenue, period of the scheme, rates of taxes, legal implications, result of past amnesty schemes and other modalities are being worked out before finalisation of time-bound 'Assets Amnesty Scheme'. The scheme is expected to be launched following completion of the said exercise.
The FBR has finalised an 'Assets Amnesty Scheme' for the months of May and June 2012 to generate handsome amount of revenue through legalisation of movable and immovable assets. The 'Assets Amnesty Scheme' was drafted prior to announcement of budget (2012-13), but the same was not approved by the Ministry of Finance. The FBR had estimated to generate Rs 20-25 billion under the 'Assets Amnesty Scheme' during two months period of 2012.
Under the proposed 'Assets Amnesty Scheme', three categories of persons were entitled to legalise their assets like cars, plots, houses, flats etc. In this regard, the FBR had drafted three types of tax slabs for these categories of taxpayers.
The highest rate of tax was proposed to be applicable for those persons against whom income tax assessments have been made by the tax department. This category covers those persons where the tax department has ample evidence of un-disclosed assets and finalised income tax assessments against them.
Within the second category of the scheme, the comparatively lower rate of tax was proposed to be applicable on those persons where notices have been issued to the owners of un-declared movable and immovable assets. In case of third category, the lowest rate of tax was proposed to be applicable for those persons who voluntarily ready to declare their assets.
The tax rate is different for those facing tax assessment proceedings against those who are ready to voluntarily come forward and disclose their assets. The FBR had presented the draft of the scheme before the Ministry of Finance for approval. However, the scheme was not approved on the apprehension whether the FBR can guarantee generating huge amount of Rs 20-25 billion in two months period of May-June 2012.
The FBR had assured the economic managers that the exact impact of such schemes is visible following its launching at national level. The said 'Assets Amnesty Scheme' was not launched before budget 2012-13. Now, once again the idea is under discussion and some attractive scheme is expected to be drafted by the FBR in coming days, sources added.