World Bank mission cancels visits to tax offices for security reasons

The World Bank review mission has cancelled field visits to Rawalpindi and Karachi tax offices under the Tax Administration Reform Project (Tarp) due to security reasons and prevailing law and order situation in the country. Sources told Business Recorder here on Thursday that the WB review mission has completed the TARP review, but they have cancelled field office visits due to security concerns.
An important conference of Director Generals of Large Taxpayer Units and Regional Tax Offices (RTOs) on October 10 was also cancelled. Sources said that the venue of next Value Added Tax (VAT) conference has also been changed from hilly resort of Bhurban to Dubai where international VAT experts including WB officials would present their papers from October 19-20. The venue of second VAT conference has also been changed due to security reasons.
It has been learnt that the WB review mission and FBR commenced meetings on the creation of new Inland Revenue Service (IRS), 2009-10 audit plan, broad-based implementation of the value-added tax (VAT) and legal changes in tax laws from Sep 28.
According to the schedule of the meetings, the WB review mission was to convene meetings till October 16. After the bomb blast at United Nations World Food Program office on October 5, the mission convened the remaining meetings at their hotel in the federal capital. The Director General Information Management System (IMS), officials of Pakistan Revenue Automation Limited (Pral) and FBR members met WB officials at their hotel. WB officials did not visit the FBR headquarters after the blast at World Food Programme office on October 5 in Islamabad.
The FBR and the WB review mission completed the Tarp review. On October 7, the mission had to leave for Karachi to meet RTO officials in Karachi, under the new organisational structure and implementation of audit and enforcement plans. The wrap-up meeting was scheduled for October 13 at the Ministry of Finance. However, these meetings were cancelled.
When contacted, senior FBR officials confirmed that the WB review mission has left after completing the Tarp review. The mission members included lead economist Satu Kahkonen, senior financial sector specialist Anjum Ahmed and consultants Carlos Silvani, Orlando Reos, Paulo dos Santos, Wyatt Grant and Daniel Alvarez.