FBR empowers IR to check suspected bank accounts

KARACHI: The Inland Revenue department has been empowered to probe into the suspected bank accounts and sources of terror financing, a notification said on Friday. 

The notification said the Federal Board of Revenue (FBR) has sanctioned the Directorate of Intelligence and Investigation of Inland Revenue (I&I-IR), Karachi to investigate around 500 cases falling within the jurisdiction of Large Taxpayers Unit (LTU-II) Karachi.

Now, the I&I-IR wing will scrutinise suspected bank accounts, detect sources of terror financing and recover black money.

The sources said in February 2015, director general of I&I-IR was empowered to investigate the suspicious transaction reports or other assets impounded by any agency under the federal or provincial governments.

The sources said as LTU-II Karachi had not been constituted then, I&I-IR approached the FBR to authorise them to deal with the cases under the LTU-II Karachi. The board issued the notification in this regard on Friday.

The director of the IR Intelligence has the power equivalent to the commissioner and is authorised to obtain taxpayers/non-taxpayers record and can enter and search premises and serve notices on information or evidence. Besides, the director can also monitor the audit proceeding.

The sources in the Directorate Intelligence IR, Karachi said the office is facing difficulties in pursuing various cases due to insufficient powers.

The Karachi Directorate has initiated several cases of suspicious transactions and tax evasion. It has started investigations into the sales tax refunds on fake and flying invoices.

The Directorate General of I&I-IR has already begun probe into the assets of high net worth individuals, including politicians, doctors, sportsmen and fashion designers in order to assess the incomes concealed by them and to bring their hidden wealth under the tax net.