PIA accounts unfrozen after partial payment – Research Snipers

PIA accounts unfrozen after partial payment

The Federal Board of Revenue (FBR) On May 1 froze all PIA accounts amid tax evasion, PIA allegedly made no payments to FBR that were due. According to the reports PIA delayed the payment of Rs100 million to FBR, as a result, the authority took swift action and froze all the PIA accounts.

The reports also mentioned PIA inert behavior towards paying taxes on time, they have been delaying payments since owe Rs32 billion in outstanding dues, however, PIA has sought a stay order by the Economic Coordination Committee of the Cabinet (ECC) on the tax issue.

By law, PIA is requisite to compile tax collection for each month within 45 days and has to pay the authority by the 15th of every month. PIA collects a large amount of Federal Excise Duty (FED) on tickets every month, along with Withholding Tax (WHT), it also collects a large amount on employee’s income tax on a monthly basis.

According to PIA spokesperson Mashood Tajwer, “FBR has now unfrozen all PIA accounts on Wednesday after receiving a partial payment that was due, PIA assured to pay rest of the amount in a short period of time.”

PIA accounts were frozen on the May 1 for one day only, the accounts were restored on Wednesday. PIA sold Rs24 billion worth of tickets during the first three months of 2017. PIA has incurred Rs11.52 billion more loses reaching a total of Rs319.10 billion in the given period. The national carrier still has to announce its annual report for the remaining quarters until March 31, 2018.