FBR: SSGC’s bank accounts Seized by the FBR due to non-payment of taxes

The Federal Board of Revenue (FBR) has seized all bank accounts of Sui Southern Gas Business Limited (SSGC) in an effort to collect Rs. 26 billion in taxes from the company via its Large Taxpayers Unit in Karachi.

According to an official statement, the tax administration has frozen different SSGC bank accounts for non-payment of General Sales Taxes (GST) that consumers paid to the corporation in their monthly bills along with electricity payments.

The Appellate Commissioner (Appeal) confirmed the default GST amount, according to the statement. However, the authority’s tough stance resulted in a small recovery of about Rs. 312 million.

The SSGC’s Reaction

In response to the action taken by the Federal Board of Revenue (FBR), the SSGC described it as hasty and without regard for legal processes. The SSGC’s spokesman, Salman Siddiqui, said the Large Taxpayers Unit has sent notifications to banks to freeze accounts until the Appellate Tribunal’s decision.

According to him, the GST was imposed on the SSGC because of the transfer of regasified liquefied natural gas (RLNG) to Sui Northern Pipeline Gas Limited, which the business believes is irrational and unreasonable. The SSGC has filed a lawsuit in the Sindh High Court against the FBR’s attempt to collect GST by blocking bank accounts. The court, according to SSGC, canceled the notifications of the Large Taxpayers Unit and ordered FBR to wait for the Appellate Tribunal’s decision.