KARACHI: The procedure of settlement of dispute through Alternative Dispute Resolution mechanism is essentially recommendatory in nature. The Federal Board of Revenue (FBR) is not mandatorily required to accept the recommendation of the ADRC.
Consequently, the appellant is not necessarily required to withdraw the appeal filed before an appellate forum for seeking remedy under the ADRC.
Under the revamped scheme, the whole structure has been changed. Firstly, the option of seeking remedy in ADRC shall only be available if the applicant waives his right of appeal in the appellate authorities.
Secondly, the recommendations of ADRC will now consequently be binding on both the parties.
There are certain procedural changes, which include:
i) Every ADRC shall include a retired Judge of High Court; and
ii) The Committee will be required to decide the matter within one hundred and twenty days (this time period has been mentioned as ninety days at one point in sub-section (5) which appears to be a mistake expected to be rectified in final draft as the time period is one hundred and twenty days in similar amendments proposed in other laws) failing which the appeal will be reinstated.