The Federal Tax Ombudsman has ordered the Federal Board of Revenue to clear all pending tax return extension requests within three days. This firm direction came after the FTO found that long delays in handling these applications amounted to maladministration. Many taxpayers, who had filed their requests on time, waited without updates, creating growing worry and disappointment among filers who expected timely responses from the system.
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ToggleComplaints Highlight Delays in IRIS Portal
The issue began when several taxpayers filed complaints about the IRIS portal failing to process their extension requests for tax year 2025. Many applicants had submitted their forms before the deadline, yet their applications stayed stuck in the outbox without any decision. This unexpected delay confused filers and forced them to seek help from the FTO, hoping for a fair and quick solution to the problem.
FTO Declares Delays as Maladministration
In its written ruling, the FTO stated that the:
“delay in communicating decisions on extension applications constitutes maladministration under section 2(3)(ii) of the FTO Ordinance, 2000.”
The order directed the Member IR (Operations) to ensure all commissioners across field formations quickly process pending requests. It also stressed the need to give reasonable time to taxpayers who received their extension approval after the extended date had already ended.
Complaint Points to Procedural Injustice
A complainant mentioned in the case record said the inaction:
“caused procedural injustice and undermined taxpayers’ legal rights,” explaining that the system’s silence made compliance difficult even though filers met all required rules.
The complainant added that the situation placed taxpayers in a challenging spot, especially when they had followed the proper process but still faced uncertainty about their extension status.
Approvals Arrived After Extended Deadline
The FTO noted with concern that many taxpayers received approval messages nearly two days after the expiry of the extended deadline, even after the ombudsman’s involvement. This late communication created more trouble for filers who needed clarity to complete their tax obligations. The observation showed that delays within the system were not small errors but recurring issues affecting smooth tax compliance across different regions.
Directive Aims to Restore Trust in Tax System
Officials close to the matter say the new directive is meant to rebuild trust in digital tax systems and protect taxpayers from penalties caused by administrative delays. The move also reflects a push for stricter oversight, as such lapses affect filing timelines and weaken public confidence in the tax administration. The FTO’s decision signals a stronger commitment to fairness and timely service for all taxpayers.
