Chairman Fbr Mumtaz Haider Rizvi

 

Mumtaz Haider Rizvi

 Chairman FBR Mumtaz Haider Rizvi

  • COUNCIL MEMBER (GOVERNMENT NOMINEE)
  •  Chairman FBR/Secretary Revenue Division

 

Mr.Mumtaz Haider Rizvi a BS‐22 officer is the Member Customs in FBR Headquarters.
Mr. Rizvi, a senior officer of Pakistan Customs Group has previously served in various key
positions across the country in his illustrious career spanning over 34 years.
He is also holding additional charge of Chairman FBR/Secretary Revenue Division.

Mr. Rizvi brings with him a rich professional and academic experience. He holds a Master’s degree in Economics and LLB from the University of Punjab.

FBR clueless about Rs1.5bn recovery from foreign firm :

The Federal Board of Revenue (FBR) remained clueless about the recovery of Rs1.5 billion from a foreign oil and exploration company that has left Pakistan at a time when the revenue body is under severe pressure to meet collection target ahead of the federal budget, sources said on Tuesday.

The revenue body identified the amount recoverable as outstanding tax liabilities against Occidental Oil and Gas Pakistan and Occidental Petroleum Pakistan, which had left Pakistan two years after closing its operations, they said.

The tax body in May 2010 issued a demand for Rs1.5 billion as liabilities under various heads for multiple years, but the company had managed to obtained stay order from a superior court. “Therefore, the recovery could not be made,” an official of the revenue body said on the condition of anonymity.

The company is a subsidiary of Occidental Petroleum listed at the New York Stock Exchange (NYSE) and one of the largest oil and gas companies in the United States. For the taxation purpose, the subsidiary company in Pakistan was assessed by the Large Taxpayers Unit (LTU), Karachi.

The company sold its working interest to another American company BP Pakistan Exploration and Production Inc. (Union Texas) on January 1, 2007. Recently, BP Pakistan had also sold its assets to United Energy Group (UEG) of Hong Kong.

Recently, the LTU Karachi attached the bank accounts of the company for outstanding recovery raised during the tax years 2005, 2006, 2008 and 2010. “The unit could recover only Rs22,000 following freezing the bank accounts,” the official added.

The FBR authorities are unaware about the government authorities that had issued no-objection certificate (NOC) to the company for leaving Pakistan without paying its tax liability. “The FBR did not issue any NOC to the company,” the official said.

Another official said that the revenue body contacted the chartered accountancy firm, which dealt the affairs of Occidental Pakistan, but the firm flatly refused to help the tax authorities, saying the company had left Pakistan and there is no chance of recovery.

The FBR and the oil company also have conflict over liabilities arising from the capital gains after selling working interests to BP Pakistan. However, the issue was resolved as the company paid over Rs3 billion to the tax authorities under this head. The FBR officials said that the recovery of Rs1.5 billion would have helped reduce possible shortfall in the revenue collection target.

The FBR was assigned to collct Rs1,952 billion for the current fiscal year and, for this purpose, the revenue body recently attached bank accounts of various corporate entities for recovery of current and arrears demand.

(The News)

 

CLARIFICATION OF AVAILING LAST DAY FACILITY OF PENALTY WAIVER ETC:

FBR has given sales taxpayers the one-time waiver of penalties and additional tax if principal amount of outstanding sales tax (including illegal adjustments) were paid by 30th June. Further concession in this was given b y FBR on 27th June in SRO 774(1)/2012 allowing only 25% of Sales tax to be paids now, and the balance in equal installments by 30.12.2012, with other conditionalities.2. In response to public queries on whether the benefit of SRO 774(1)/20012 dated 27-06-2012 is also available to those who have already made payment of 25% or more of the principal amount prior to the issuance of the said notification, the FBR issues following clarification, as tomorrow (Saturday 30 June) is LAST DATE of this facility.3. FBR clarifies that the benefit of SRO 774(1)/2012 dated 27-6-2012 shall only be available to those registered persons who pay during June 27-30, 2012 atleast 25% of the principal amount as outstanding against them on June 27, 2012. The conditions laid down in SRO 774(1)/2012 dated 27-6-2012 i.e. regarding payment of balance amount etc will continue to apply.

3. Thus, any amount deposited prior to June 27, 2012 shall not make the registered person eligible to claim benefit of the said notification unless he makes payment on or after June 27, 2012 of atleast 25% of the balance principal amount as outstanding on the said date.

Riffat Shaheen Qazi
Official Spokesperson, FBR

 

FBR strengthen its capabilities with new Data-Centre and Video Conferencing facility:

The Chairman, FBR, Mumtaz Haider Rizvi today inaugurated two new facilities for FBR, a new state of the art (Tier 3) Data-Center and a new Video Conferencing facility for FBR.The Data Centre is of a Tier-3 category which is said to be the most modern Data-Centre in the Government sector. The new FBR Data Centre can operate around the clock, and has capacity to monitor FBR’s IT systems across Pakistan on a 24/7 basis. FBR Spokesperson, Riffat Shaheen Qazi while highlighting facets of the new facility, said that it also allows FBR the capability to host its own e-mail services that can also be used for facilitating taxpayers.Cutting the tape on the new video conferencing premises the Chairman, Mumtaz Haider Rizvi expressed the hope that this will not only improve communications but also reduce unnecessary tours of senior officers. After cutting the tape Chairman, Mumtaz Haider Rizvi talked to Chief Commissioners and Chief Collectors individually at different cities across Pakistan and also held a joint video conference with them simultaneously.Incharge of the IT Project, Ardsher Tariq , informed that there are 29 video conferencing points at major tax offices across the country and the new facilities will increase the effectiveness of the FBR manifold and add to pace of revenue mobilization in Pakistan.

 

The Lahore High Court on Monday directed the Federal Board of Revenue chairman and the tax officials concerned to decide by June 30 the cases of alleged tax evasion by Bahria Town.

Justice Ijazul Ahsan issued the order on a writ petition filed by Advocate Shahid Jami seeking recovery of billion of rupees income tax allegedly evaded by Malik Riaz of Bahria Town.

The judge also directed the FBR chairman to furnish a report on the decisions about tax evasion before the high court registrar.

Earlier, Advocate Jami in his arguments said during audit of Bahria Town (Pvt) Ltd for tax year 2006, it was detected by the then officer in May 2009 that the Rs9.2 billion worth of land purchase expenses were not supported with evidence which attracted tax liability of Rs2 billion.

He pointed out that after bringing on record the discrepancy the tax officer was transferred and even subsequent officer refused the high-ups to drop the issue. The lawyer stated that later the case was assigned to a very junior officer who dropped the issue while concluding the audit.

He pointed out that the Bahria Town after 13 years of its operations was in net loss of over Rs120 million. He doubted the company’s loss saying an average ghee mill had declared more income and paid more tax than Bahria Town, a major real estate company of the country. Advocate Jami argued that the limitation for remedial action by additional commissioner under section 122(5A) of the Income Tax Ordinance 2001 would expire on June 30, 2012.

During the course of hearing, FBR’s counsel objected to the jurisdiction of the court to hear the subject matter. However, the judge rejected the argument and issued directions to the FBR chairman and the tax officers concerned

Chairman FBR Mumtaz Haider Rizvi Interview With CNBC


 Federal Board of Revenue (Pakistan):

he Federal Board of Revenue (more commonly known by its initials as FBR) is the semi-autonomous, supreme federal agency of Pakistan that is responsible for auditing, enforcing and collecting revenue for the government of Pakistan. FBR has the responsibility for (i) formulation and administration of fiscal policies, (ii) levy and collection of federal taxes and (iii) quasi-judicial function of hearing of appeals. FBR is estimated to be the largest federal bureaucracy in Pakistan. As the agency conducts audit of taxpayers regularly, it’s regarded as the guardian of national treasury in Pakistan. FBR primarily operates through its main collection arms, its field formations, the Regional Tax Offices (RTOs) and Large Taxpayer Units (LTUs) across the country. FBR has two major wings: the Inland Revenue Wing which brings in over 90% of FBR’s total collection and Customs Wing. Mostly in the media, the acronym ‘FBR’ is also often mentioned when speaking in relation to Inland Revenue Officers (previously Income Tax Officers) in Pakistan. For the purpose of collection of revenue and pursuing tax evaders, FBR’s powers & functions also include but are not limited to: carrying out inquiries and audits/investigations into the tax affairs, commanding arrests, attachment as well as public auction of movable and immovable assets of a non-compliant. Mumtaz Haider Rizvi is the present acting chairman of the agency and under his capacity as Chairman FBR (on acting basis), he is authorized Office of the Secretary, Revenue Division, Government of

 

Month wise/ tax wise Net Collection during FY: 2010-11:

 

Tax-wise  Collection FY 2011-12:

 

 

 

FBR Tax Collection:

Source:Federal Board Of Revenue

Tax collection trend:

This is a chart of trend of taxes collected by the Central Board of Revenue of Pakistan with figures in millions of Pakistani Rupees.

Year Total Direct Taxes Indirect Taxes
1996 129,282,087 658,485,060 211,597,027
2000 982,392,277 251,124,585 124,5267,692
2005 429,282,087 129,282,087 611,597,027

Since the mid-1990s, Sales Tax has grown dramatically in significance to the exchequer while Excise collection has stagnated.

 

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