The System of Tax Audit of Cellular Companies Starts by FBR
Tax Audit Starts by FBR:
The Federal Board of Revenue (FBR) has kicked off withholding income tax audit of cellular mobile companies in a bid to professionally examine, analyze and verify the veracity of income tax, revealed senior officials. To start with, the final data uploaded by M/s Telenor Pakistan (Pvt) Limited has been picked up for withholding income tax audit of the same company, said the officials while briefing the Senate Standing Committee on Information Technology and Telecommunications, which met with Senator Shahi Syed in the chair Monday.
The member FBR told the committee that software has now been developed to collect biweekly data of customers of telecomm companies. The companies were reluctant initially to share this data, terming huge customer base and confidentiality the reasons for reluctance but the matter has been resolved after involving PTA.
In order to professionally examine, analyze and verify the veracity of the income tax (withholding taxes), the FBR with the assistance of the Pakistan Revenue Automation (Pvt) Ltd (PRAL/IT Wing), has been able to develop a software utility portal (/electronic). All the four telcos are required to upload their monthly customer wise income tax (withholding tax) data, on the prescribed format. For this purpose, the PTA, the telecom regulator, also provided active support in exhorting the telcos to upload the requisite data on the electronic interface.
After extensive technical exchanges between tel cos and Pakistan Revenue Automation (Pvt) Ltd (PRAL, IT Wing, FBR), three telecom companies – M/s Telenor Pakistan (Pvt) Limited, M/s Pakistan Mobile Communication Limited (Mobilink) and M/s Telecom Mobile Ltd (Ufone) – have uploaded their income tax (withholding tax) data for the months of July, August and September 2017, through the online interface as provided by Pakistan Revenue Automation (Pvt) Ltd (PRAL), whereas the fourth telco M/s CM Pak Ltd (Zong) is facing a number of technical issues in uploading the required data on the PRAL-utility portal which are in the process of being resolved by them.