No recovery from taxpayers until ADRC decision

0
48

KARACHI: Finance Act 2018 has granted stay against recovery till decision in a dispute where Alternate Dispute Resolution Committee (ADRC) is formed.
According to Tola Associates the recovery of tax payable by a taxpayer in connection with any dispute for which the ADRC has been formed will be stayed up to the date of decision by ADRC.
Through the Finance Bill it was proposed to revamp the Section 134A whereby any aggrieved person, who has filled and appeal before any Appellate Authority will file an appeal before the Board and simultaneously will withdraw such appeal filed before any appellate authority for the resolution of hardship or dispute.
The bill further proposed that the Board may, within 60 days of receipt of application, appoint a committee comprising of:
a. an officer of Inland Revenue not below the rank of a Commissioner
b. person to be nominated by the taxpayer from a panel notified by the Board comprising:
i. senior chartered accountants and senior advocates having experience in the field of taxation
ii. reputable businessmen as nominated by Chambers of Commerce and Industry
iii. a retired Judge not below the rank of District and Sessions Judge
Both the parties will be bound to accept the recommendations of ADRC.
The powers of ADRC have also been proposed to be enhanced whereby it can resolve any pending disputes which are pending before any Appellate Authority.