ISLAMABAD (May 22 2004): The Central Board of Revenue (CBR) has conveyed to the chartered accountant firms that amnesty schemes for retailers and registered persons, notified through SRO 246(I)/2004 and SRO 247(I)/2004, would not affect a person's right of appeal.
Recently, the CBR has announced two schemes to waive additional tax and penalties in full provided the taxpayers agree to deposit principal amount of sales tax along with 25 percent of the outstanding additional tax by June 20, 2004 and amnesty to retailers, who apply for registration up to June 30, 2004, of past liabilities.
The amnesty would be available on cases pending in adjudication, appeal or at any other forum and would not effect the person's right of appeal after depositing liabilities under the notification.
The CBR was receiving queries from different CA firms including A F Ferguson & Co, Karachi, regarding effects of amnesty on appellate proceedings.
The CBR on Friday issued clarification to collectors of sales tax and CA firms that, “the CBR confirms that the benefit under SROs 246(I)/2004 and 247(I)/2004, both dated May 5, 2004, is also available to cases which are pending in adjudication or appeals, and will not affect a persons' right of appeal”.
In case a registered person has already paid the whole of the principal amount of tax, relief would be available on payment of 25 percent of the additional tax on such amount.
Furthermore, if any person has already partially paid the principal amount of tax, relief would be available on payment of the remaining principal amount of tax and 25 per cent of the additional tax (on the whole of the principal amount of tax).
The CBR has issued these notifications aimed at granting relief, reducing litigation, freeing up revenue and encouraging registration of retailers, CBR added.