Alleged misuse of ATL by wings'' employees: FTO issues notice for disciplinary proceedings

The Federal Tax Ombudsman (FTO) has issued notice to Chairman Federal Board of Revenue (FBR)/Secretary Revenue Division and Member (IT) FBR for initiating disciplinary proceedings against Pral/Iris/FBR/IT-Wing employees in a complaint of massive irregularities in misuse of Active Taxpayer List (ATL) facility, causing huge revenue loss to the national kitty.
It is learnt that due to non-compliance by the FBR, the FTO has issued notice to the FBR''s top slot in a complaint presented by Advocate Waheed Shahzad Butt which highlighted massive irregularities in misuse of the ATL facility, evasion of WHT by non-filers, unauthorised CNIC access, unilateral issuance of NTN, filing of unauthorised income tax return and wealth statement, causing huge loss of revenue in active connivance with some department officers.
The FTO notice states: "Neither proper para-wise comments (rebuttal of allegations contained in written complaint) have been received nor any responsible official from the Department (PRAL/IRIS/FBR/IT-Wing) appeared to plead the case and offer clear stance of PRAL/IRIS/FBR/IT-Wing in this important complaint highlighting, prima facie, massive irregularities in ATL facility ultimately causing huge loss to National Exchequer".
Complainant stated, "Quite surprisingly it was categorically stated by Rehmatullah Khan Wazir, the then Member (Taxpayers Audit), in a report submitted on Automatic Selection for Audit under Section 214D of the Income Tax Ordinance, 2001 that 428,830 returns belonging to taxpayers with NIL tax paid/NIL turnover but no one in FBR is willing to consider the aspects of potential planned tax robbery/evasion seriously."
The complainant has also forwarded a synopsis of potential revenue loss due to active connivance of FBR/IRIS/PRAL functionaries. The complainant further stated, "This is much more than a simple case of forgery. Certain FBR/IRIS functionaries have deliberately violated the strict protocols instituted for issuance of NTN and their motivation is wholly suspect, when on the same day NIL income tax return with NIL wealth statement have been filed for Tax Year 2017. The violation of prescribed protocols being contrary to the law is tantamount to severe maladministration of justice and absolute cheating not only with innocent citizens but also with the national exchequer."
"In view of the above, this office intends to initiate appropriate action in terms of Section 9(3) of the Federal Ombudsman Institutional Reforms Act, 2013. You are required to fix the responsibility and also file para-wise comments, clearly negating, rebutting or explaining the each and every stance/allegations contained in the complaint, by 22.01.2019 and also depute some senior official to present the case of department," the FTO ordered.