FTO orders probe into allegations against FBR officials

ISLAMABAD: Federal Tax Ombudsman (FTO) Zafar Hijazi has ordered initiation of an investigation into serious allegations of deliberate negligence and inefficiency by FBR officials resulting in revenue loss by filing time barred appeals before High Courts. The FTO has taken cognizance of a public interest complaint, moved by Chairman Lahore Tax Bar Association Public Interest Litigation Committee, highlighting the systematic filing of time-barred appeals and tax references by FBR’s Legal Wings before High Courts across Pakistan. The LTBA-PILC alleges that such deliberate acts enabled taxpayers to secure dismissals on limitation grounds, causing lawful tax revenue running into billions of rupees to lapse. Consequently, the office of FTO has issued formal notices to the Secretary Revenue Division, Member-IR (Legal), and Member-IR (Operations), directing them to submit detailed comments and explanations on the raised allegations. When contacted tax lawyer Waheed Shahzad Butt said the FTO should order scrutiny of the role of FBR’s Legal and supervisory hierarchy in protecting revenue interests and ensuring compliance with statutory timelines. The complaint, filed in public interest, asserts that despite repeated judicial observations by superior courts dismissing FBR appeals as time-barred, no disciplinary or corrective action was initiated by FBR’s top management. Copyright Business Recorder, 2026