#petroleum division

Petroleum Division refutes media reports linking petrol crisis to import ban

[ad_1]

ISLAMABAD: The Petroleum Division has refuted the media reports attributing the present petrol crisis to an import ban imposed by the federal government on March 25 during the COVID-19 lockdown.

The spokesperson of the Petroleum Division rejected the reports that are ‘neither factually true nor an accurate representation of the facts’, said a press release.

The division clarified that…

Petroleum Division expresses concerns over ‘artificial shortage’ of petrol

[ad_1]

ISLAMABAD: The Petroleum Division has raised concerns over the ‘artificial shortage’ of petrol in the country, ARY News reported on Thursday.

The Petroleum Division’s spokesperson said in a statement that the matter related to uninterrupted petrol supplies to the consumers was raised before the Oil and Gas Regulatory Authority (OGRA) multiple times.

The regulatory authority was urged to…

New Post has been published on http://www.therakyatpost.com/news/2014/04/07/a-g-wants-stricter-collection-of-tax-arrears-from-petroleum-companies/

A-G wants stricter collection of tax arrears from petroleum companies

By Hamzah Nazari

KUALA LUMPUR, April 7:

The Inland Revenue Board of Malaysia (IRBM) Petroleum Division has collected RM351.43 billion in taxes between 2011 and November 2013 from the upstream and downstream sectors of the industry.

The upstream sector refers to petroleum operations which involve exploration, development, production and sale of petroleum and is subject to the Petroleum Income Tax Act (Pita).

The downstream sector relates to refining, development and marketing of petroleum-based products as well as the petrochemical industry and is subject to the Corporate Income Tax Act (Cita).

“The audit review finds the Petroleum Division achieved the set target of between 106% to 256% for the years 2011 and 2012.

“However, for 2013, namely for the period January to June 2013, the Petroleum Division has only achieved a KPI (key performance index) of 32% to 49%,” the Auditor- General’s report revealed today.

It also found some issues that should be addressed, mostly relating to cases under the Cita.

“A total of 31 field audits on Cita cases were not completed in time between a period of a month to 3 years and 5 months which involved additional taxes and penalties amounting to RM8.83 million.

“Non-compliance of work procedures during the field audit of eight Cita’s companies resulted in an incomplete audit checklist, where additional taxes and penalties levied amounted to RM2.57 million, and notices of estimated assessment and penalty amounting to RM1.94 million were not issued to three Cita cases as well as assessment for the income tax return forms, which were already received but were not taken into account during preparation of ledgers.

“Actions were not taken to enforce tax collection, resulting in under collection of tax revenue amounting to RM3.34 million, which consist of tax arrears for 17 companies (Cita cases) amounting to RM2.94 million and increase in tax amounting to RM404,656 was not imposed on tax arrears for Cita cases.

“Civil suits and property caveats were yet to be taken against petroleum companies (Cita case) which have not settled their tax arrears,” read the report.

As such, the IRBM were advised by the A-G to implement six changes.

Among them was stricter enforcement on the collection of tax arrears, increase the number of companies to be audited and specifically mention the timeframe for desk audit on Pita cases in the Petroleum Tax Audit Framework.

The rest were to study ways to improve the self-assessment system, conduct a review on the capacity of automation system and enhance periodic internal inspections and monitoring of the tax assessment as well as tax collection activities.

“IRBM also needs to ensure that immediate action is taken against non-compliance issues to prevent them from recurring,” wrote the A-G.