Government yet to collect Rs 79 billion tax from ‘large taxpayers «

Government yet to collect Rs 79 billion tax from ‘large taxpayers

The government is yet to collect Rs 79 billion of already calculated tax from the big corporate houses.The government is yet to collect Rs 78.15 billion income tax from big firms, according to the Large Taxpayer Office.
It has to yet to collect Rs 84.77 million as value-added tax (VAT) and excise duties as of the data till mid-December, the LTIO informed, adding that it has issued a notice to the companies to pay outstanding dues three times and has also given 15 days deadline every time. “But most of them are neglecting the call,” a higher official at the LTO said, adding that it has been learned that many of such companies have filed cases against the government at the Revenue Tribunal or the Supreme Court.
The Office estimates the number of taxpayers fighting the legal battle is around 500 and they are unlikely to pay the dues till final verdicts in their respective cases.
The Office is assigned to collect taxes from 1,2,3,4, which are known as the ‘large taxpayers’. According to revenue laws, a company that has transactions worth more than Rs 400 million in terms of goods or more than Rs 250 million in terms of services every year is a large taxpayer.
The tax laws have enabled the government to collect outstanding dues from taxpayers by seizing their property and bank accounts in case they fail to deposit due taxes on time.