ISLAMABAD: The Lahore High Court (LHC), Bahawalpur Bench, has suspended the Federal Tax Ombudsman’s investigation proceedings against a senior tax officer, observing that the FTO’s jurisdiction in the matter appeared limited.
The order was passed on September 11, 2026 in W.P. No. 5105 of 2026 against Federal Tax Ombudsman and others.
Petitioner who is serving as Additional Commissioner, Regional Tax Office Bahawalpur, had challenged the FTO’s authorisation dated 08.07.2026 and subsequent notices dated 16.07.2026, 19.08.2026 and 03.09.2026 issued in Complaint No.12536/ISB/IT/2026.
Appearing for the petitioner, Advocate Ch Shaban Nadeem contended that the Federal Tax Ombudsman constituted an Investigation Committee without lawful authority. He argued that the FTO has “very limited jurisdiction to this extent and can only prepare a report in this regard.” It was further submitted that the impugned authorization and notices were illegal and liable to be set aside.
Assistant Attorney General appeared on court’s call and accepted notice on behalf of the respondents. He stated that a reply would be filed after seeking instructions.
In its interim order under C.M. No.01 of 2026/BWP, the court directed that “the operation of the impugned notices dated 16.07.2026, 19.08.2026 and 03.09.2026 shall remain suspended till the next date of hearing.”
LHC order stated, “The learned counsel for the petitioner contends that petitioner is civil servant, serving as Additional Commissioner Revenue, Range-I Bahawalpur Zone, Regional Tax Officer, Bahawalpur. Federal Tax Ombudsman constitute an Investigation Committee vide authorization dated 08.07.2026, without lawful authority as the Federal Tax Ombudsman has very limited jurisdiction to this matter. In the meantime, the operation of the orders shall remain suspended till the next date of hearing.”
Copyright Business Recorder, 2026
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