A row has erupted between the Federal Board of Revenue (FBR) and the National Logistics Cell (NLC) over whether the logistics arm of the government comes under the income tax net.
According to a senior FBR official, NLC has written a letter to the FBR, seeking exemption from income tax payments according to provisions of the Income Tax Ordinance 2001. However, the FBR insists that NLC is liable to pay the tax and has approached the Law Division to get its opinion on the issue. The Law Division’s ruling will decide the matter.
The official said the FBR, in a summary sent to the Law Division, cited not only the income tax ordinance but also clauses of the Constitution to support its case that tax was applicable to NLC. The official said the FBR requested the Law Division to issue a ruling on the dispute.
Published in The Express Tribune, October 9th, 2011.
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When its a commercial organization, why should they be exempted??
The Hon Supreme Court of Pakistan in case of Central Insurance has held that neither FBR nor Ministry of Law has legal basis to interpret provisions of Income Tax Ordinance and only legal hieracy listed in Income Tax Ordinance can validly interpret law. So let NLC file appeal in Court of law and argue it's case.
Why should NLC be exempt from tax.It does commercial work,commercial contracts,commercial freight hauling. Tax them as any other commercial entity
Amazing someone to pay taxes in Pakistan
FBR rules.