FBR acts to reduce Rs2.3trn litigations thru ADR option

28 Feb, 2023

ISLAMABAD: In order to reduce litigations of Rs2.3 trillion in courts, the Federal Board of Revenue (FBR) has decided to approach trade bodies, including chambers of commerce all across the country to utilise the Alternate Dispute Resolution (ADR) option to the optimum level.

According to a document of the FBR to end litigation of Rs2.3 trillion in courts, the Customs Wing of the FBR is putting special emphasis on availing the ADR mechanism under Section 195C of the Customs Act, 1969, for quick and amicable disposable of pending litigation cases.

In this regard, the field formations have been directed to identify cases that are suitable for disposal through ADRCs. The Customs Wing FBR is in the process of reaching out to trade bodies, including chambers of commerce all across the country to utilise ADRC option to the optimum level.

The Customs Operation wing has already set up ADRCs in five cases, with three more in the pipeline and efforts are being made to maximize the use of this mechanism for quick and early disposal of pending litigation cases.

In order to discourage frivolous litigation all chief collectors/director generals have been asked to forward the recommendation for filing of appeals/SCRAs after satisfying themselves to the legality/propriety involved in the questions of law being framed/finding to the board.

In order to discourage the filing of appeals/references on frivolous grounds, the field formations have been directed that only sound and specific questions of law, if they so exist, should be raised rather than general questions of law/grounds for filing appeals/references, the FBR added.

Copyright Business Recorder, 2023

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