ISLAMABAD -- The Federal Tax Ombudsman (FTO) has directed the Chief Commissioner Inland Revenue of the Regional Tax Office-III, FBR Karachi to investigate and identify the officials involved in registration of a fake person and initiate disciplinary action against them.
The recommendation were given on an investigation initiated by the FTO to investigate irregularities committed by the field formations of Federal Board of Revenue (FBR) in processing and sanctioning of bogus sales tax refund during the period from 2011-14 as identified by the Directorate General of Intelligence and Investigation Inland Revenue (I and I-IR), FBR.
The recommendations were given in the case of Messieurs Crescent and Yasdan Traders International, a registered person engaged in the other person service activities, investigations were conducted by I and I-IR, FBR.
It revealed that the above registered person claimed refund for the months of November and December amounting to Rs 10.401 million. The refund was based on huge input claims of fake and flying invoices of the parties dealing in steel and plastic, including Shaikh Pipe Mills, Chaudhry Steel Re-rolling Mills, Xaviar Company,
F A Enterprises and...