Islamabad: The Federal Board of Revenue (FBR) has unveiled a 14-point checklist for taxpayers who seek condonation for time limit extensions under the Sales Tax Act of 1990. This new protocol aims to streamline the process and ensure that all requests are handled efficiently and transparently.

According to Zameen.Com, the recent circular issued by the FBR outlines a new procedure for processing these condonation requests under Section 74 of the Sales Tax Act. Taxpayers who wish to apply for an extension must submit their requests to the relevant Commissioner of Inland Revenue (IR), detailing the reasons for their delay. The application process includes addressing 14 specific questions that ascertain the eligibility for condonation.

The Commissioner of IR is then required to review these applications and, for requests that extend beyond three years, forward their recommendations to the Board using a prescribed format. This recommendation process must be completed within 15 working days from the receipt of the application, although this period can be extended if more information is needed.

Following the Commissioner’s recommendation, the Board will deliberate on the request and is responsible for either approving or rejecting it. The final decision is communicated to both the Commissioner-IR and the applicant. This new streamlined process is set to replace the earlier guidelines provided in Sales Tax Circular No. 01/2024/IR Operations, marking a significant update in how the FBR handles time limit condonation requests.