FTO orders tax refund

Published May 2, 2003

ISLAMABAD, May 1: The Federal Tax Ombudsman (FTO) Justice (Retd) Saleem Akhtar has asked the collector of customs, sales tax and central excise, Hyderabad, for issuing withheld refund to a complainant shortly.

The ombudsman directed the collector to decide the refund application of Rs 1.062 million of the complainant within 15 days of his order.

According to the FTO’s decision, the complainant M/s Pakistan Mineral Development Corporation was asked by the collector of Hyderabad to deposit Rs1.062 million as additional sales tax.

The complainant challenged the decision in the tribunal and consequently the Appellate Tribunal remitted the additional sales tax of the complainant.

The complainant said that since the year 2000, they have been continuously contacting the deputy collector of sales tax, SITE, Hyderabad for refund of withheld amount but without result.

The ombudsman said that the matter has been kept pending for more than two years without any justification. It is a case of mal-administration on the part of sales tax authorities, he said and added that the collectorate should produce a compliance report to his office within 30 days of his order.