KARACHI: Central Board of Revenue (CBR) has allowed non-corporate income tax payers of the country to revise their income tax returns and another facility of getting rid of the requirement of audit of their income tax returns by paying 20 per cent “higher” (more) income tax “as compared to the tax payable on their original return provided there is no definite information against them (with regard to evasion of income tax)”.
Secretary Assessment, CBR in his official instructions, C-No-1(1) S (ITAS) 2004 dated July 28, 2004, issued to all four Regional Commissioners of Income Tax and Large Tax Payer Units (LTUs) of Karachi said: “It is stated that in order to facilitate the non-corporate tax payers, selected for audit, it has been decided to provide them an option of revising their income tax returns by paying 20 per cent higher tax as compared to tax payable on their original return provided there is no definite information against them (with regard to evasion of tax)”.
The order further says: “In view of the above, it is requested that the tax payers may be offered the option and upon acceptance, audit in their cases may be closed”.
Last week, a delegation of Karachi Income Tax Bar Association (KITBA) met chairman CBR at the main Income Tax Building, and suggested that conditional concession may be granted to those income tax payers who offer 20 per cent more tax to authorities to save their skin from the audit of their returns.
The chairman CBR accepted the recommendation of the KITBA and announced the decision at a dinner meeting of Karachi Chamber of Commerce and Industry.