Daily Times

KARACHI: Warning the Karachi Metropolitan Corporation and all five District Municipal Corporation (DMC’s) about freezing of their accounts, the Federal Board of Revenue (FBR) has set December 15, 2016 as the deadline for the corporations to file their income tax returns and withholding tax (WHT).

The KMC and DMCs shall ensure the filing of income tax returns and withholding tax (WHT) for the year 2016-17, which is outstanding since past couple of months, insiders confided to Daily Times.

According to sources, FBR has instructed KMC and DMCs to ensure submission of income tax returns and withholding tax for the year 2016-17 till December-15 otherwise the FBR authorities have no option but to freeze all accounts of the corporations.

“The metropolitan and municipal corporations of the city have millions of rupees outstanding against them which have to be paid as income tax and withholding tax to FBR authorities for the Fiscal Year 2016-17”, sources said.

After the warning, the KMC authorities have held a series of metings in a bid to resolve the issues of the filing of income tax returns and WHT, sources said, adding that the freezing of the accounts would directly affect sanitation conditions and overall functioning of the city’s administration.

The employees of KMC and DMC’s had been deprived of their salaries for last several months, the situation would again be deteriorated if KMC and DMCs delay the deposit of the outstanding amount within the stipulated time frame.

It is to be recalled here that the FBR had frozen the accounts of KMC and DMCs, last year hampering the civic activities of the metropolis.