FinanceNews

Drive to broaden tax base from August 1

ISLAMABAD (July 23 2005): The Central Board of Revenue (CBR) will shortly launch a countrywide drive to broaden the tax base and replace the old management system of income tax circles with the new functional-based organisational setup under the restructuring plan from August 1, 2005.

Taking a bold step to broaden the tax-base, the Commissioners of Income Tax (CITs) will take up the matter of obtaining data on transfer of property in Punjab and Sindh with their Chief Ministers.

Official sources told Business Recorder on Friday that the CBR has directed RCITs to constitute dedicated teams for expansion of tax base by August 1, 2005 in each income tax zone.

The regions and zones will chalk out a strategy with active consultation of the individual trade bodies to convince the traders to file their tax returns. This campaign will be launched from August 1, 2005.

The Board will also launch a publicity campaign to educate the taxpayers about their statutory obligation to file returns.

On the issue of RTOs, officials said that the final date of formal inauguration of Regional Tax Offices (RTOs) is not final. However, the CBR has issued instructions to the Regional Commissioners of Income Tax (RCITs) to change the existing circle-based system to the functional mode from August 1, 2005. RCITs will assign new jurisdiction to various income tax zones on functional basis, with the approval of the Board. Adjustment of posts of Commissioners and Additional Commissioners will be made by the Board.

The postings of the Commissioners on functional assignments would be made by the Board. However, postings of taxation officers on functional positions within the Zones and Regions would be made by respective RCITs and CITs. In this regard, no staff members will be laid off. Instead, staff members will be retained and reassigned.

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