Unpaid dues: LTU freezes ZTBL’s accounts

Bank had reportedly failed to pay advance tax for the third quarter of the last taxable year amounting to Rs858ml

ISLAMABAD: The Large Taxpayers Unit in Islamabad has frozen accounts of the Zarai Taraqiati Bank Limited after the bank failed to pay federal excise duty and sales tax worth Rs1.4 billion.

However, documents available with The Express Tribune suggest that the ZTBL has approached the Appellate Tribunal Inland Revenue (ATIR) and obtained a stay-order, stopping the Large Taxpayers Unit (LTU) from recovering the duties and taxes.

The bank had reportedly failed to pay advance tax for the third quarter of the last taxable year amounting to Rs858 million. It prompted the LTU to attach the bank’s account for non-payment of the tax on the due date.

“So far, more than Rs200 million has been deposited in the government’s exchequer through the bank’s accounts,” states the document.

ZTBL authorities, meanwhile, have approached the LTU to settle the issue. Negotiations are said to be underway.

Meanwhile, LTU Chief Commissioner Sajjad Haider Khan has urged ZTBL to pay all outstanding dues before any request for de-freezing their accounts is entertained.

It has been further learnt that the LTU is reviewing various legal measures, including liquidation of all area demands. They have further requested the appellate authorities for early hearing of all such cases, wherein substantial amount of tax revenue, worth almost Rs200 billion, is stuck.

Published in The Express Tribune, October 8^th, 2016.