- FBR reports a significant increase in delays for processing sales tax refunds
- Average processing time for sales tax refunds increased to 119 days in FY 2023-24 from 44 days in FY 2020-21
- Number of processed refund orders rose to 40,447 in FY 2024 from 33,013 in FY 2021
- Despite more claims being processed, the time taken has increased, indicating inefficiencies
- FBR suggests the need for system optimization to improve refund processing efficiency
- In contrast, income tax refund processing showed mixed results with a decrease in processed orders but fluctuating processing times
- Processing times for income tax refunds improved from 598 days in FY 2021 to 448 days in FY 2024
- The report highlights the need for urgent reforms and technological advancements to enhance system efficiency and taxpayer satisfaction
- FBR emphasizes the importance of addressing systemic issues to ensure smoother refund processing for taxpayers
Source: pkrevenue.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
