Islamabad: Pakistan Mobile Communications Limited (Jazz) office has been sealed by the Federal Board of Revenue in Islamabad on Wednesday over non-payment of income tax.
The company, which has over 62 million subscribers, is country’s largest internet and broadband services provider. It also claims to be Pakistan’s number one 4G operator.
Nevertheless, the company has failed to pay its income tax amounting to Rs25.4 billion and has been declared as a ‘defaulter’ by FBR in a notice, dated 28th Oct 2020.
The notice said that the company i.e. PMCL, hereinafter referred to as defaulter; is an existing taxpayer but an income tax amount of Rs25,393,653,480 is outstanding against the defaulter while the defaulter itself deliberately, dishonestly and without lawful excuse to discharge tax liability and thus causing huge loss to the national exchequer.
The notice further reads as now therefore, on the basis of facts stated inter alia, the deputy Commissioner Inland Revenue in exercise of the powers vested in terms of section 138 of the Income Tax Ordinance, 2001 read with section 48 of the Sales Tax Act, 1990 order ti seal the business premises of the defaulter till the payment of outstanding dues in full or withdrawal of this order.
Non-compliance/defiance to this order shall be tantamount to obstruction in discharge of functions of an income Tax Authority and shall be punishable on conviction with a fine or imprisonment for a term not exceeding one year or both under section 196 of the ITO 2001.
A video has also emerged in which the staff is standing outside their Islamabad office after it was sealed by the country’s top tax authority.
PMCL staff waiting outside after FBR sealed the office.
The company said that it has received a notice from FBR and will review and take measures under their legal obligations and will collaborate with all concerned institutions for an early resolution of the issue.