The Federal Tax Ombudsman (FTO) is investigating the Islamabad Electric Supply Company‘s (IESCO) complaint against the unlawful tax recovery through bank account attachment. The FTO has summoned the relevant officials to explain the alleged maladministration and harassment of taxpayers. Tax lawyer Khurram Shahzad has accused the LTO Islamabad officials of illegal recovery, violating multiple tax rules and court orders.
FTO Initiates Probe into Unlawful Tax Recovery
The FTO has taken action following a complaint lodged by IESCO regarding the illegal recovery of taxes through the attachment of its bank account. The probe aims to determine the reasons behind the alleged harassment of taxpayers by LTO Islamabad officials.
Tax Lawyer Accuses LTO Officials of Misuse of Authority
According to tax lawyer Khurram Shahzad, LTO Islamabad officials have been involved in issuing recovery notices without lawful jurisdiction to the banks of the complainant. This raises concerns about the misuse of authority and the lack of adherence to due process.
Violation of Tax Rules and Court Orders
The complaint also highlights the blatant violation of multiple sections of the Sales Tax Rules, 2006, along with court orders. The alleged misuse of authority includes the issuance of unlawful notices with “arrest threats” to banks.
