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On Tuesday, the Karachi Tax Bar Association (KTBA) rejected using mobile phone SMS as a legal way to serve notices.
KTBA Letter to Chairman FBR
KTBA strongly suggested in a letter to Chairman, FBR Muhammad Javed Ghani that the inclusion of sub Rule (2A) in Rule 74 of the Income Tax Rules 2002 would create chaos. And will be contradictory and therefore, should not be entered.
KTBA Opposed the way of serving tax notices via phone SMS
KTBA opposed sub Rule (2A) in Rule 74 of the Income Tax Rules 2002, on the feedback invited by the FBR via SRO 1250 (I) / 2020.
Alternative Dispute Resolution (ADR)
KTBA said that regarding serving of notice via Pakistan Telecommunication Authority (PTA), the proposed amendment should only be used for the purpose of Section 134A(12) of the Income Tax Ordinance 2001, regarding Alternative Dispute Resolution (ADR).
KTBA further said that the provisions of Section 218 of the Ordinance deal with the service of notices and other documents and it provides services with uniformity of notices and other documents.
Further, clause (a) of sub-section (1) of section 218 of the Ordinance mandates the service of notice / order to a taxpayer personally. The proposed resources of electronic service of notices and other documents under the Income Tax Ordinance 2001 will be taken as an alternative mode of serving notice.
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