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NBR moves to make list of similar pending cases

Doulot Akter Mala | Wednesday, 22 July 2015



The NBR's Income Tax Wing has moved to sort out the pending court cases of analogous nature from the tax offices across the country to resolve long-standing disputes for realising stuck-up revenue.
A 12-member committee has been formed to compile the list of such cases that have been pending in the field-level tax offices blocking up the government revenue.   
Officials said half of the income tax-related court cases might be found as analogous. The disputes could be resolved with the settlement of one or two of such cases.
According to available data, income tax amounting to some Tk 74.13 billion has been stuck up with 2,711 court cases, filed by the taxpayers in different stages.
A senior tax official said an updated list of court cases of similar nature will be prepared by collecting information from 33 tax zones across the country.
"The committee will provide the attorney general's office with the updated list of analogues cases to expedite the revenue realising process," he said.
Slow pace in resolving court cases has long been a major source of concern of the tax authority.
Earlier, the National Board of Revenue (NBR) high-ups met the Chief Justice to seek his support on quick disposal of the tax-related cases. They urged him to consider 'fiscal experts' at the time of appointing lawyers for the tax-related cases. There are two courts to settle the tax-related cases, but NBR is getting support from one. The revenue board has also sought cooperation to get support from both the courts, officials said.
The tax officials identified some common sections in the income tax ordinance, on which taxpayers usually file cases. The sections are: minimum tax for corporate taxpayers irrespective of profit or loss, re-opening tax-files under universal self-assessment system, and local letter of credit (L/C) etc.
There are some 23,000 court cases, involving some Tk 260 billion income tax, customs duty and VAT.
The NBR's Value Added Tax (VAT) Wing has the highest volume of stuck-up revenue with the pending cases. Some 2,566 cases, involving Tk 135.34 billion revenue, are now stuck up with the wing.
The Customs Wing has some 17,470 pending cases with Tk 48.35 billion stuck-up duty.
However, the Income Tax Wing resolved some 305 tax-related disputes through Alternative Dispute Resolution (ADR).
Officials said income tax-related disputes are not so difficult to settle, like those relating with VAT or customs, as businessmen usually file cases on legal matters. Valuation is an important component there.
The number of court cases can be minimised, but cannot be brought down to zero level, as the taxpayers are filing new cases and writ petitions every year, challenging different types of assessments of the taxmen, they added.
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