Clarification: FESCO denies default on tax payment

The Federal Board of Revenue froze FESCO accounts for defaulting on payment of electricity bills.


Shamsul Islam April 24, 2014
The Federal Board of Revenue had frozen FESCO accounts last week for failing to pay electricity bills. PHOTO: FILE

FAISALABAD:


The Faisalabad Electric Supply Company (Fesco) said on Wednesday it had not defaulted on tax payment to the Federal Board of Revenue (FBR).


Fesco spokesman Tahir Sheikh said the Lahore High Court (LHC) had restrained the FBR on Tuesday from collecting general sales tax (GST) from the power company.

The Fesco had disconnected power supply to the FBR’s zonal office on Tuesday alleging that it had defaulted on payment of electricity bills.

FBR Additional Commissioner Javaid Badar claimed that the power company had taken the action after Fesco’s bank accounts were frozen last week for not paying Rs5.37 billion in taxes.

Sheikh said on Wednesday the power company had not been receiving the tax payments from its consumers. He said the matter was in the LHC and the FBR should wait for its decision.

Published in The Express Tribune, April 24th, 2014.

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