CBR fails to widen tax base

Published April 5, 2005

ISLAMABAD, April 4: Central Board of Revenue Chairman M. Abdullah Yousaf has admitted that despite all efforts the tax administration has failed to bring potential taxpayers under the tax net. Addressing the launching ceremony of Tax Administration Reform Project (TRAP) here on Monday, he said widening of tax base was a big problem as the CBR was not near to that level of registration of taxpayers where it should be. “Just 1.1 million taxpayers are registered with the income tax department,” he added.

Answering a question, the CBR chairman said that many potential taxpayers did not want to come under the tax net fearing hassling at the hands of tax officials.

He said that the government was trying to remove the fears of the people and restore their confidence on the tax administration system.

Elaborating future strategy, he said that through collection of data from various resources an analysis would be carried out to find out potential and authentic taxpayers.

The CBR chairman said that the cumbersome procedures and laws would be simplified to make it user-friendly for the taxpayers.

He said that the CBR had already done away with 28,000 appeals out of total 56,000 pending appeals, which he said would be completely disposed of by end of the current year.

He advised the taxpayers to resolve their tax disputes through a new mechanism of alternate dispute resolution committees.

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