Action ordered against FBR officials, others involved in illegal tax refund

ISLAMABAD: Federal Tax Ombudsman (FTO) on Monday directed the Federal Bureau of Revenue (FBR) authorities to take serious action against those involved in the illegal refund of tax rather than mere blacklisting them, ARY NEWS reported.

The ombudsman directed the bureau to issue a red alert in the matter and take concrete steps other than suspension of the Sales Tax Registration Numbers (STRNs).

It said that some of the FBR officials were also involved in registering the illegal STRNs. “In major cases, the process to blacklisting the STRNs was initiated after six months,” it said.

The FTO said that no action was recommended against the fake people and their accomplices and a recovery order of Rs 410 million was issued against an illegal STRN four years ago.

The ombudsman said that despite a suo moto case into the case, the FBR authorities are reluctant to take action against its officials, who were hands in glove during the entire process.

It directed the concerned chief commissioners to initiate proper proceedings against the officials in the matter.

This is not the first time that the ombudsman has ordered action illegal tax refund case for as on January 31, it directed to initiate action against Federal Board of Revenue (FBR) officials involved in an illegal tax refund case.

The ombudsman said that the recovery of the tax refund amount should be as speedy as the refund was claimed and acquired by some people.

“The case should be resolved within 45 days,” he directed in a suo moto notice case pertaining to tax refund claimed during the period from 2011 to 2014.