FDE wants scrutiny of tax submissions by contractors

Firms who skip GST submissions will be barred from working with govt


Zaigham Naqvi March 02, 2019
Representational image. PHOTO: REUTERS

ISLAMABAD: The education authorities of the federal capital have decided to approach the top tax collecting body of the country to scrutinize the sales tax submitted by their suppliers, fearing that companies involved in tax theft have been contracted.

The 423 Educational institutions operating under the Federal Directorate of Education (FDE) bodies often procure equipment and items or contract builders and repair work through general order suppliers. These suppliers, though have to submit forms relating to the general sales tax (GST) they have paid.

Those who do not pay the due GST are barred from working with the government.

Informed sources say that numerous firms are working to supply necessary equipment to the 423 educational institutions in the federal capital. In the 30 large colleges of the city, these supply firms get contracts worth millions under the general supply order.

However, despite claiming in their documents that they have paid the due GST, FDE suspects that these companies are not submitting the tax in the national exchequer.

Education officers alleged that this was the result of the firms working in cahoots with the principals and administrative officers of the respective educational institutions. They explained that the officials help the companies draft the quotation in a particular way whereby the overall value reflected is lower than competitors.

Once the contract is awarded, the amount for GST agreed is included in the final bill but this sum is never submitted to the government.

It is alleged that a certain portion of this sum is redistributed amongst the government officials as kickbacks.

A spokesperson for the FDE said that they have held initial consultations with officials of the FBR on the matter. Now, they will provide a complete record of the firms working at a model college to the FBR. After providing the complete delivery record for a period of one-year, the FBR will be requested to ascertain whether the concerned firm had submitted the due GST in national treasury or not.

Civil defence training for students

Owing to the hostilities with India, the Punjab government has declared that civil defence training is mandatory for students of girls and boys schools across the province. The training has also been declared as a priority for scouts and girls guides.

All 36 district education officers of the province have been directed by Monitoring Director Rana Abdul Qayyum to immediately start civil defence, first aid, rescue and firefighting training for youngsters in their respective districts.

The trainings will be conducted by officials of the Rescue 1122 and civil defence. In Rawalpindi, a training schedule has been devised for schools and colleges by Rescue 1122 and the civil defence department.

District Civil Defence Officer Talib Hussain told Daily Express that civil defence training had become critical in modern times. He added that in the first phase, colleges, universities and high schools will receive the training. In the second phase, youngsters at the Union Council level will be given training.

WITH ADDITIONAL INPUT FROM OUR CORRESPONDENT IN RAWALPINDI

Published in The Express Tribune, March 2nd, 2019.

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