The Federal Board of Revenue (FBR) has sent another notice to Rahat Fateh Ali Khan (RFAK), seeking an explanation for his alleged bank accounts.
According to reports, the FBR has asked RFAK to submit a reply by January 15. The singer reportedly failed to satisfy the FBR about his alleged bank accounts, after he was served with the initial notice in December 2020.
The FBR started investigating RFAK’s finances in October last year. Later, in December, the FBR traced the alleged bank accounts and the singer was asked to submit a reply by December 23.
Meanwhile, the FBR recently also sent a tax notice worth 58 million to Atif Aslam after the audit of his income for the year 2018. According to details, Aslam has been given one month’s notice to pay the tax. If the singer fails to pay the due amount, the revenue board will make the recovery by freezing his bank accounts.
The Federal Board of Revenue (FBR) has reportedly sent Atif Aslam a tax notice worth 58 million after the audit of his income for the year 2018.
According to reports, Aslam has been given one month’s notice to pay the tax. If the singer fails to pay the due amount, the revenue board will make the recovery by freezing his bank accounts.
This is not the first time a member of the entertainment industry has come on FBR’s radar. In October 2020, the FBR launched an inquiry to investigate Rahat Fateh Ali Khan’s sources of income.
Earlier in 2019, the FBR also launched an initiative to collect tax from the citizens and requested showbiz and media personalities to declare their assets, warning them that if they don’t they will also face disciplinary action.
Meanwhile, Atif is one of Pakistan’s biggest stars. Earlier, the singer made it to the inaugural Forbes Asia’s 100 Digital Starslist. The list highlights celebrities from across the Asia Pacific region who have taken the digital world by storm, according to a press release.
If honesty is the sole criterion for the appointment of the Federal Board of Revenue (FBR) head then the government should request cleric Maulana Tariq Jamil to head the tax watchdog, said top economist Dr Ikramul Haq while criticising the government’s tax policies.
In an Express News show, the economist said the use of technology and enforcement of laws were important to achieve tax targets.
“If tax collection can be increased through honesty alone, we should request Maulana Tariq Jamil to head the FBR,” the economist said, alluding to the remarks made by Imran Khan before the 2018 elections that an “honest leadership” could convince people to pay taxes and become a tax-compliant nation.
He also urged the government to relax the definition of non-resident person to one year to facilitate those who were stuck in the country due to Covid-19.
Haq was of the view that the government should make a general rule to facilitate the people instead of waiting for them to individually plead their cases regarding overstay due to the pandemic as scores of non-resident persons have accidentally become Pakistani residents.
According to the economist, the FBR should send tax returns to the people to measure the response. According to the TV show, at least 72 per cent of people didn’t file tax returns: 4.7million out of the total 6.5m.
The Federal Board of Revenue (FBR) has received a record number of returns this year, along with the highest ever amount of income tax at the time of filing.
According to a statement issued by the FBR on Wednesday, “A total of nearly 1.8 million returns have been filed together with an amount of about Rs22 billion. Last year, around this time, 1.73 million returns were filed while about Rs13.5 billion were deposited as income tax.”
FBR said it had opted not to extend the last date to file income tax returns beyond December 8, 2020 to restore the credibility and predictability of the final date and promote tax discipline, which worked. However, to ensure that no hardship was faced by taxpayers, a number of special measures were adopted.
These included liberal acceptance of requests for extension in filing date as available under the law; provision to file requests manually besides the online facility; enabling tax practitioners/advisors to file a single request for multiple clients; and enabling the chief commissioners to set up special desks for collection of manual request and sorting their jurisdiction at their level.
The above measures have encouraged a large number of taxpayers to file extension requests, the statement read. It is estimated that at least 300,000 taxpayers have made use of this facility, thus taking the number of potential returns to 2.1 million, which is 21pc higher compared to last year until this date.
It is further clarified that the process of filing is continuing unabated. A comparison with the returns of last year at the close of the deadline, which was 30 June 2020, would be meaningful when the number of additional returns to be filed until 30 June 2021 is available.
The FBR commended the determination of taxpayers, and the support it received from members of tax bars from all over the country, who have made such record setting returns and income tax payments possible. The results establish that the decision not to allow general extension in the last date, would go a long way toward re-establishing much needed trust and credibility of the tax system.
The Federal Board of Revenue has collected Rs1.690 trillion during the first five months (July-Nov) of the fiscal year 20-21, collecting Rs17 billion more than the collection target set for the required period.
According to media reports, the overall collection could further increase to Rs1.694 billion after book adjustment.
Profit reported that the department had collected Rs350bn revenue in November, witnessing a growth of 4.4 per cent against last month’s 3.7 per cent.
According to a report in Express Tribune, the five-month target was set at a low level, which was equal to 33.7 per cent of the annual target and considered very low.
The report claimed that the FBR could not achieve the monthly target for the fourth successive month and the five-month target was achieved only due to the better performance of Pakistan Customs.
It is pertinent to mention that the government had fixed Rs4.963 trillion as tax target for the current fiscal year after consultation with the International Monetary Fund.
The Federal Board of Revenue (FBR) has proposed a Rs10 health levy on each packet of cigarettes. The proposal has the potential to encourage current smokers to quit, FBR believes.
Before devising policy formulation, FBR has sent its proposal to the Law Ministry seeking legal advice if the suggestion falls into the jurisdiction of the federal government or not in the aftermath of the 18th Amendment.
FBR officials say they are awaiting the response of the ministry and after receiving the advice, they would move forward accordingly.
Last year, an approval was granted for the same tax by the cabinet. The anti-tobacco lobby has been advocating imposition of the levy as the price increase would discourage consumption, especially among children and youth.
Tobacco companies, on the other hand, say this could cause a revenue loss worth Rs20 to Rs24 billion to the national exchequer per year.
Renowned preacher Maulana Tariq Jamil has rubbished claims that he received a hefty amount to officiate what is being dubbed as “Pakistan’s most expensive wedding ceremony”.
The Master Tiles-Jalal Sons wedding from earlier this month has been making headlines for its extravagant style and featuring several Pakistani celebrities in addition to a troupe of foreign gymnasts.
“By the tawfīq of Allah, I have traveled around 6 continents to preach the message of Allah and I have been preaching the life of our Prophet ﷺ to the Ummah for a very long time. The hurdle in our advancement is our moral decline,” Jamil said in a Facebook post.
“My message for those who accused me of taking money for performing Nikāh is that in the journey of preaching the message of Allah I have performed Nikāh of thousands of boys and girls for the sake of Allah,” he added.
Jamil went on to say that Sheikh Mahmood of Master Tiles was an old friend of his. “How can I take money for performing Nikāh of his daughter on his invitation? May Allah protect us all from distrust and false accusations.”
Earlier, it was reported that the preacher was paid Rs1 million rupees (Rs10 lacs) for his services.
A probe was conducted by the FBR into the “service providers involved in the lavish arrangements” to detect possible tax evasion. The document shared by the FBR said that Rosa Blanca Country Club, the venue of baraat located on Raiwind Road in Lahore, was paid Rs150 million for the premises.
The Federal Board of Revenue (FBR) has sent a notice to Master Tiles Director Sheikh Muhammad Iqbal, asking him to explain the source of income after he spent millions on a lavish wedding ceremony.
The notice was served by Gujranwala’s chief commissioner of Inland Revenue with regard to extravagant expenditure made on the marriage ceremony of the daughter of Master Tiles director and the son of the owner of a superstore chain, Jalal sons.
A notice, under section 176 of the Income Tax Ordinance, 2001, has been issued to the above in order to ascertain withholding tax and legal action will be taken accordingly, reported Pakistan Today.
At the wedding, Rose Blanca Club Lahore provided catering, KSC Concept were the event planners, Irfan Ahsan provided photography, while Rahat Fateh Ali Khan provided the entertainment. The wedding had been trending on social media the past week for being grand and extravagant.
The four-day festivities, which were attended by several celebrities and notable personalities, culminated in a one-of-a-kind valima which featured performances by Turkish gymnasts.
Several notable personalities including celebrities and politicians were spotted at the wedding. Among those present on the baraat were Special Assistant to Chief Minister Punjab on Information Dr Firdous Aashiq Awan and Maulana Tariq Jameel.
Maulana Tariq also conducted the nikkah ceremony of the bride and groom.
One of the major reasons behind tax gap due to a lower number of tax filers, especially in Pakistan, is lack of awareness as there are numerous benefits of being a filer that most self-employed and salaried individuals don’t know about.
Do you wish to avail better services at airports or excise offices? Want to buy a new car at an affordable price? Or even that top-tier piece of real estate at a lower rate? Want to enjoy a minimal withholding tax on all your banking transactions? Or did you recently suffer a loss in your business and are in dire need of a tax waiver?
If your answer to even any one of these questions is ‘yes’, you immediately need to start filing your tax returns and wealth statement.
You might have thought of becoming a filer but later changed your mind because:
It’s a very complexed process
“My employer deducted it, so why should I even bother?”
Lack of knowledge and awareness regarding this matter
“We are already paying tax through indirect mean”
“Who cares? It’s Pakistan”
Being a tax illiterate can hold you back from getting so many benefits, this article will surely get you on your way to becoming a filer.
Filing your tax returns and wealth statement is beneficial for both you and your government.
And here’s how you can start doing so.
Step 1: Know FBR’s Instructions for Filing Taxes in 2020
Before we get to how to register online as a tax filer and submit your returns, it is important to go through the Federal Board of Revenue’s (FBR) recent instructions on how to file your tax return.
Take a look of the tax slabs for salaried person for tax year 2020/2021
Step 2: Get Registered with FBR E-Enrollment System Online
You can get registered with FBR here and start filing your tax returns online. Previously, FBR used to have separate portals for individuals and companies. But now, they have simplified it further for everyone.
Once signed up, you’ll see a few categories on the left. Go to the registration document in the drafts folder and fill it. When you have filled it and submitted it, FBR will confirm your account and you will be able to submit your tax returns and wealth statements.
If going online is not an option for you, then you can manually file your returns on paper at Taxpayer Facilitation Counters of your respective Regional Tax Office. Paper Return Form can be downloaded from FBR’s website as well or you can file your tax return through Tax Asaan App.
You can also consult this video for any further details.
There are few things you need to know before becoming a filer, watch this video to know about all those things:
What happens if you don’t file your taxes?
Your Income Tax Returns will not Be Entertained if:
Under section 182(1), individuals and companies need to make sure that they don’t fill in wrong details in their forms, failing which will result in penalties for the concerned parties.
CNIC should not be missing or incorrect or invalid
Mandatory fields marked by * shouldn’t be empty
Returns should be duly signed by the taxpayer or his representative (as defined in section 172 of the Income Tax Ordinance, 2001)
Returns should be filed in the prescribed form and format
As announced by the government in a press conference, the due date for all income-tax return (ITR) for FY 2019-20 has been extended from July 31, 2020, and October 31, 2020, to December 8, 2020.
This guide is not meant to be used as an exhaustive resource, however, it does explain the first step for people who are looking to contribute to Pakistan’s well-being and become responsible citizens.
The Federal Board of Revenue (FBR) has collected more than Rs1,000 billion in revenue during the first quarter (July-Sept) of the current fiscal year (FY2020-21).
According to media reports, the tax department has collected Rs1,002 billion during the period under review, against the target of Rs970 billion.
The tax department had collected Rs593bn during the first two months of FY21, while collection in September stood at Rs408bn, as against the target of Rs418 billion.
The revenue collection during the quarter increased due to the resumption of economic activities post-COVID lockdowns. The department has also increased its crackdown on defaulters and tax evaders.
On Wednesday, the FBR’s Directorate of Intelligence and Investigation-Inland Revenue (Lahore) raided the business premises of a shoe manufacturing unit under Section 38 and 40 of the Sales Tax Act, 1990.
The unit was engaged in manufacturing activities, making taxable supplies of footwear etc while consuming huge amounts of raw materials and electricity. However, the unit had been deliberately filed “nil” sales tax returns since July 2015 to avoid payment of due sales tax.
During the search, important records were impounded which is under scrutiny while further investigation in this regard is underway. The directorate intends to intensify such operations to detect tax fraud and stop huge revenue leakage being caused to the national exchequer.
