Dr. Asif Mahmood Jah, the Federal Tax Ombudsman (FTO), has initiated an investigation against the Corporate Tax Office (CTO) in Islamabad for blatant violations of instructions issued by the Federal Board of Revenue (FBR). These instructions mandated the provision of order sheet copies to taxpayers, a constitutional right upheld by superior judiciary orders.
Reliable sources indicate that the FTO’s office has issued three notices to the Secretary of the Revenue Division, the Chairman of the FBR, and the Chief Commissioner Inland Revenue (CCIR) of the CTO in Islamabad. They have been asked to submit their comments by May 27, 2024, regarding complaints about the mistreatment of taxpayers by CTO employees.
Tax lawyer Waheed Shahzad Butt, when contacted, stated that the FTO will investigate allegations of mal-administration. The focus will be on why FBR tax employees have been disregarding orders from higher judiciary and instructions from the FBR without fear of accountability.
Butt further highlighted that the CTO’s actions are contemptuous and undermine the authority of the Chief Justice of Pakistan, referencing the recent landmark order in Mukhtar Ahmad Ali vs. The Registrar, Supreme Court of Pakistan, Islamabad, and others (2023 SCP 312). He also cited the binding verdicts in Waheed Shahzad Butt vs. Federation of Pakistan and others (PLD 2016 Lah. 872) and guidelines from the FBR in Circular-Letter No: 3(9)IT-IV/78 dated March 28, 1978, and Circular No. 15 of 1958 dated October 8, 1958, read with Article 19A of the Constitution.
The complainant requested permission to inspect the complete tax records, including order sheets for income tax proceedings conducted under section 122(5A), and to receive certified copies of order sheets for April 22, 2024, and April 30, 2024. The complainant provided GPS logs as evidence of corrupt practices, aiming to expose the truth behind the scenes.
