The government has decided to launch two tax amnesty schemes in an effort to encourage reluctant taxpayers to pay their dues which run into billions of rupees, a move that comes at a time when the government is striving to meet the annual tax collection target to keep the budget deficit under control.
According to officials in the Federal Board of Revenue (FBR), a notification will be issued soon for introducing an amnesty scheme, which will invite taxpayers to pay their dues of sales tax and federal excise duty by June 30 without any penalty and surcharge.
In another amnesty scheme, officials said, FBR would encourage importers, manufacturers, traders and industrialists to pay their dues of customs duty without any levy of fine and additional surcharge. Besides, the importers will be allowed to get their imported goods cleared with payment of normal duties and taxes.
Officials said FBR would also allow taxpayers to pay only actual taxes in those cases which were in litigation in different courts of the country while fines and additional surcharges would be waived. In case, any ruling came in favour of taxpayers, they would be refunded the paid taxes.
According to officials, the main objectives of the schemes are to reduce tax-related disputes in courts, give incentives and concessions to taxpayers and substantially increase tax collection in the week before the close of financial year on June 30. This would help FBR to meet the annual tax target of Rs1,588 billion.
Officials said at present tax dues of around Rs100 billion were blocked in different law forums or were not paid due to imposition of penalties and additional surcharges and FBR was making efforts to put to an end these disputes and recover the taxes swiftly.
Published in The Express Tribune, June 25th, 2011.
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