The federal government has emphasized that there will be no external interference in the administrative affairs of Customs or the Inland Revenue Service during the restructuring of the Federal Board of Revenue (FBR) agenda. The finance division issued a clarification, stating that the restructuring aims to enhance governance, efficiency, and effectiveness within the FBR.
Proposals aligning with international best practices have been formulated to streamline FBR functions, strengthen the FBR policy board, and improve overall governance, integrity, and performance. These proposals, developed after extensive consultations with experts, academics, and FBR leadership, do not involve downsizing the workforce or external interference in Customs or Inland Revenue Service administrative matters.
The government is considering the creation of specialized administrative structures accompanied by enhanced delegation and accountability. An institutional mechanism for a Tax Policy group with expertise and analytical capability is also under consideration to rationalize the tax regime, emphasizing fairness and equity.
The Finance Division clarified that reports in digital media misrepresent the objective and scope of FBR reforms, which aim to boost the tax/GDP ratio, ensure equitable burden sharing, and facilitate tax and investment provisions.
