04-22-2009, 08:57 AM
By Muhammad Yasir
KARACHI: Federal Board of Revenue (FBR) has decided to monitor individuals income tax on the monthly basis particularly in agro-based, banking and textile industries to minimise the problems which arise on the different dates of closing of accounts of companies and country’s financial years.
The top-level tax officials and lawyers have agreed on various measures to remove all complicated and unclear issues related to withholding taxes. In this regard, a recently held meeting attended by Director General Withholding Taxes, Commissioner Income Tax, Enforcement and Collection Division, and office bearers of Income Tax Bar Association Karachi (ITBAK) finalized major decisions.
They decided the monitoring of withholding of taxes may be conducted for one time for a particularly year only.
The taxation officers will not ask taxpayers for providing any details of monthly and annual statement in the form of soft and hard copies as these details are already with them through e-filling. After ascertaining the status of the taxpayer only relevant information may be asked.
Moreover, in some cases the taxation officer do not consider the previous history of compliance and have started issuing notices calling for the same material/record which has been provided earlier.
In such cases where penetration of reconciliation of withholding taxes required under 44(4) of the Income Tax Rules, 2002 is difficult, the taxation officer with prior approval of commissioner Income Tax and consent of taxpayers may examine the records of withholding taxes at the taxpayers’ premises.
The taxation officer should conduct preliminary examination of the annual statement filed under section 165 of ordinance and account/returns of income filed by the taxpayers. After the examination if it is found that the taxpayer has not claimed any expenditure or expenditure claimed is reconciled with annual statement, no further notice for monitoring of withholding of taxes would be issued by the taxation officer, the meeting decided.
It was also decided that the jurisdiction for monitoring of withholding taxes assigned to the taxation officer would be publicised amongst the taxpayers and their representatives.
http://www.dailytimes.com.pk/default.asp...2009_pg5_8
KARACHI: Federal Board of Revenue (FBR) has decided to monitor individuals income tax on the monthly basis particularly in agro-based, banking and textile industries to minimise the problems which arise on the different dates of closing of accounts of companies and country’s financial years.
The top-level tax officials and lawyers have agreed on various measures to remove all complicated and unclear issues related to withholding taxes. In this regard, a recently held meeting attended by Director General Withholding Taxes, Commissioner Income Tax, Enforcement and Collection Division, and office bearers of Income Tax Bar Association Karachi (ITBAK) finalized major decisions.
They decided the monitoring of withholding of taxes may be conducted for one time for a particularly year only.
The taxation officers will not ask taxpayers for providing any details of monthly and annual statement in the form of soft and hard copies as these details are already with them through e-filling. After ascertaining the status of the taxpayer only relevant information may be asked.
Moreover, in some cases the taxation officer do not consider the previous history of compliance and have started issuing notices calling for the same material/record which has been provided earlier.
In such cases where penetration of reconciliation of withholding taxes required under 44(4) of the Income Tax Rules, 2002 is difficult, the taxation officer with prior approval of commissioner Income Tax and consent of taxpayers may examine the records of withholding taxes at the taxpayers’ premises.
The taxation officer should conduct preliminary examination of the annual statement filed under section 165 of ordinance and account/returns of income filed by the taxpayers. After the examination if it is found that the taxpayer has not claimed any expenditure or expenditure claimed is reconciled with annual statement, no further notice for monitoring of withholding of taxes would be issued by the taxation officer, the meeting decided.
It was also decided that the jurisdiction for monitoring of withholding taxes assigned to the taxation officer would be publicised amongst the taxpayers and their representatives.
http://www.dailytimes.com.pk/default.asp...2009_pg5_8