ISLAMABAD, Oct 10: The Federal Tax Ombudsman (FTO), Justice (Retd) Saleem Akhtar has directed the Central Board of Revenue has taken exception to tax officials maladministration.

The FTO has directed the CBR to provide a list of the cases relating to any federal tax or duty in which the secretary law division has given his decision, indicating the date of implementation if complied with, within two months, said an official announcement.

The decision was taken on the complaint of Associated Cement (Rohri), Limited, which was filed against the sales tax and central excise department, Hyderabad on account of wrong rejection of abatement claim of Rs38.79 million; refusal to refund excess excise duty of Rs7.222 million recovered on the stock of clinker cement and unwillingness to release the security deposit of Rs1 million.

The FTO in his order recommended to CBR to direct the collector, sales tax and central excise, Hyderabad that no penalty would be leviable on the complainants for the period abatement has been allowed and issue order for abatement of excise duty in compliance with the law division’s decision.

The collector should also decide the claim for refund of excess of excise duty and release of the deposit, observed the Ombudsman.

The FTO observed that all these decisions should be taken within 30 days and compliance report would be produced to his office within forty five days.

The ombudsman observed that the department’s approach to adjust the abatement against the original deficit and accumulated penalty thereon was negative, unjustified and highly arbitrary.

The stand that the penalty remained intact and kept on increasing on monthly basis was illegal and malicious based on irrelevant grounds and has resulted in inordinate delay in implementation of the abatement order and refund/release of security, which constituted serious maladministration, the FTO observed.