Prime Minister Shehbaz Sharif has given the green light to the Federal Board of Revenue’s (FBR) new transformation plan, aimed at improving tax enforcement and driving key economic reforms. The plan introduces third-party audits for FBR projects and imposes stricter penalties on taxpayers involved in fraud or failing to meet tax obligations.
During a meeting to assess FBR’s progress, Sharif stressed the need to digitise the tax system and enhance enforcement mechanisms. He instructed authorities to create a comprehensive strategy in consultation with key stakeholders and taxpayers to ensure smooth implementation of the reforms, which are designed to bolster Pakistan’s economy.
Key elements of the plan include using technology to improve tax collection, rewarding high-performing FBR officers, and enforcing stricter tax laws. It also targets tax evasion by restricting financial transactions for non-compliant taxpayers.
Sharif described the FBR as the backbone of Pakistan’s economy, underscoring the need to increase tax revenue to support public services and social development. He also reiterated the government’s focus on promoting the private sector, which he called crucial for economic strength.
To curb smuggling, the plan includes new customs check posts in collaboration with the Frontier Works Organisation (FWO) and a camera-monitored system to oversee customs officers.
In its initial phase, Karachi’s large taxpayer unit, which generates 32% of the country’s tax revenue, will see the deployment of efficient officers, supported by auditors and experts.