ISLAMABAD – The Pakistan International Airlines’ accounts were unfrozen by the Federal Board of Revenue (FBR) on Thursday after the issue of non-payment of outstanding dues was settled.
The tax body had blocked the bank accounts of the carrier over non-payment but the move was surprisingly taken when the European Union Aviation Safety Agency (EASA) team was visiting Pakistan for a safety audit of the carrier.
In a notification issued in this regard, the FBR’s deputy commissioner for Inland Revenue stated that the earlier notice issued was withdrawn and the bank accounts of the carrier were detached with immediate effect.
The tax regulator has highlighted that the said de-attachment did not bar the department from pursuing “recovery proceedings” under the relevant laws.
Meanwhile, PIA’s spokesperson Abdullah Khan confirmed that the FBR has ordered the unfreezing of the airline’s accounts across the country, adding that the national carrier and FBR’s Large Tax Unit were in constant contact to resolve the issue, Dawn reported.
The national carrier of the country has been facing back-to-back blows in recent weeks. Apart from the tax woes, the carrier also faces challenges in managing fuel supply and Pakistan State Oil had recently threatened to stop the airline’s oil supply if outstanding dues were not settled.
This is not the first time that the fuel supply of the airline is facing issues. A few weeks ago, Pakistan State Oil had actually halted the supply of the fuel resulting in the cancelation or delay of over 300 flights for domestic or international routes.
The federal government has also decided to privatise the loss-making Pakistan International Airlines for which a consultant has also been hired and privatisation minister, Fawad Hassan Fawad has advocated the privatisation of the carrier in the backdrop of the multifaceted challenges being faced by the national carrier.
