NAB intervenes in tax evasion case

9 Jul 2012

The National Accountability Bureau (NAB) has taken legal action against five of the nation’s telcos for allegedly evading tax and excise duties amounting to PKR47 billion (USD489.95 million). According to the Business Recorder, the NAB has accused the National Telecommunications Corporation (NTC), Pakistan Telecommunications Mobile Company Ltd (PTML), Telenor Pakistan, Warid Pakistan and Mobilink (previously known as Pakistan Mobile Communications Ltd, PMCL) of evading taxes since 2007. The Federal Board of Revenue (FBR) noticed the evasion of tax earlier this year and brought a case against the operators to reclaim the funds. In an appeal to the Chief Commissioner of the Large Tax Unit, however, the telcos sought a reprieve from the earlier taxes, claiming that the evasion was inadvertent, but stating that they were prepared to pay the correct amount from 1 July 2012 onwards. With the FBR reportedly planning to allow the back-taxes to be waived, the NAB intervened to prevent the loss of funds to the state coffers and safeguard national interests.



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