By The Federal Board of Revenue (FBR) took action on Thursday by freezing 13 bank accounts belonging to Pakistan International Airlines (PIA) due to their failure to pay Rs8 billion in Federal Excise Duty (FED).
FBR officials have decided to file a first information report (FIR) against PIA officials for not fulfilling their FED obligations, despite their accounts being unfrozen just last month. According to a PIA spokesperson, this freezing of the airline’s bank accounts will not disrupt its flight operations. There are ongoing discussions at the government level, and PIA’s accounts are expected to be reinstated soon.
It’s worth noting that on July 27, the FBR had previously frozen all of PIA’s bank accounts due to tax non-payment. However, on July 28, the accounts were unfrozen after resolving issues between the FBR and PIA.
In recent years, PIA has faced financial challenges due to poor fund management, increased operating costs, and rising fuel prices. Additionally, the airline has been under scrutiny for its compliance with international safety standards, which has resulted in temporary bans and restrictions on Pakistani airlines in several countries.
Despite these financial and regulatory challenges, PIA has maintained uninterrupted flight services. According to FBR sources, PIA had failed to deposit Rs4 billion in FED, which it had collected through ticket sales.
Furthermore, PIA encountered difficulties in purchasing fuel for its aircraft, as Pakistan State Oil (PSO) refused to supply fuel when the airline’s accounts were previously frozen.”
