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Complaint Regarding Misuse of NTN Results in Legal Action Against Courier Companies --- Federal Tax Ombudsman

6 months, 4 weeks
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Complaint Regarding Misuse of NTN Results in Legal Action Against Courier Companies --- Federal Tax Ombudsman

The Federal Tax Ombudsman received a complaint under Section 10(1) of the Federal Tax Ombudsman Ordinance, 2000 (FTO Ordinance), alleging the filing of fake Goods Declarations (GDs) against the complainant's name. The complaint implicated the Federal Board of Revenue (FBR), Pakistan Revenue Automation Limited (PRAL), Directorate General of Intelligence & Customs (I&C), as well as specific courier companies and businesses.

The complainant reported repeated instances of fake export GDs being filed against their name without their consent. Despite notifying the relevant departments through calls and emails, no action was taken. The complainant, who had not exported anything from Pakistan, was coerced into accepting these fake GDs in monthly sales tax returns to avoid repercussions from the authorities. The complaint was forwarded to relevant authorities for comments. Responses were received from Director (HQs) of the Directorate General of Reforms & Automation, Islamabad, the Collector of Customs at Jinnah International Airport, Karachi, and the involved companies. Explanations were provided regarding the misuse of Unique User Identification (UID) and errors in filing GDs, attributed to system errors and data entry mistakes.

During the hearing, representatives reiterated written submissions. The complainant highlighted the adverse impact on their monthly return filing due to the misuse of their NTN by the courier companies. The courier company admitted to errors in data entry, while authorities emphasized the need for rectification. It was determined that the courier company intentionally misused the complainant's NTN, which remained unresolved despite notifications. This constituted a violation of Customs Act provisions. Failure to rectify the issue led to maladministration by the concerned departments.

Issuing an alert to Customs field formations to identify and rectify misuse of identifiers within 30 days. Blacklisting the involved courier companies and initiating proceedings under relevant Customs Act provisions within 15 days. Resolving the complainant's NTN issue to facilitate sales tax returns. Reporting compliance within 45 days.