Islamabad, Sep 17: The Chairman of the Federal Board of Revenue (FBR), who is responsible for deterring foreign investment through fraud on statute, has been instructed by the Establishment Division to take action against irregularities, corrupt activities, and inefficient components within the FBR.
It is rumored that the Establishment Division has referred a serious matter regarding corrupt practices by certain tax employees of the Corporate Tax Office Islamabad. This is based on a write-up submitted to the Division by Khurram Shahzad Butt against corrupt practices in the FBR to deter foreign investment through fraud on statute and misuse of assessment powers.
Prior to this, Prime Minister Shehbaz Sharif fired 25 personnel from the FBR who were in higher pay grades of 21 and 22 based on the advice of three intelligence agencies over their ability and financial honesty. The chief commissioners and other senior board members were among those dismissed.
According to the taxpayer, “FBR-Pakistan’s extreme, unchecked corrupt practices have resulted in significant hardship and inconvenience for taxpayers of Pakistan, which may discourage foreign investment.” A stricture has been imposed to clearly expose administrative errors after the Final Fact Finding Authority, in the hierarchy of fiscal statutes, documented particular examples of incompetence, inefficiency, and proven corrupt practices.
Strictures have been passed to openly expose administrative errors, ineffective processes, and arbitrary, malignant choices that have harmed Pakistani taxpayers and damaged the country’s tax system due to inefficiency and proven corrupt activities.
There is no need, either moral or legal, to bring the matter back because it has reached its conclusion and is, for all intents and purposes, a closed transaction. Under Section 170, the action is clearly unlawful and against the law. The taxpayer stated, somewhat interestingly, that the respondents would not accept the indisputable reality.
In addition to being against the law, the FBR’s activities damage Pakistan’s tax system’s credibility, especially in the eyes of foreign investors. Institutions are strengthened by accountability as opposed to weakened by it.
In addition to costing the taxpayers money, these errors have damaged Pakistan’s tax administration system’s reputation. The nation’s overall economic health suffers from such activity. The taxpayer further stated that their continuous participation in FBR compromises the integrity and legitimacy of Pakistan’s tax system.
“I am directed to enclose herewith a copy of the self-explanatory complaint against Madam Ishrat Mujahid & Mr. Osama Idress (CTO Officers) that I received on the aforementioned subject, along with its enclosings, for further necessary action, in accordance with Rules/Policy,” the Establishment Division continued.
