New administrative restructuring of FBR

The Federal Board of Revenue (FBR) has reduced the number of FBR Members from 12 to nine under the new organisational structure with a view to eliminating overlapping of functions and continuation of reforms in the tax administration. Under the administrative restructuring of the FBR, the Board has created a new post of FBR Member RGST/ERPS to exclusively deal with the issue of the Reformed General Sales Tax (RGST) and Expeditious Refund Payment System (EPRS).
FBR Member Strategic Planning and Statistics Abrar Ahmad Khan has been appointed as Member RGST/EPRS. The time bound position of FBR Member RGST/ERPS would continue till January 2012. Sources said that Asrar Rauf FBR Member Direct Tax Policy would be appointed as Additional Secretary Revenue Division to look after the tax policy matters of the FBR. The government would appoint FBR former Member Tax Policy and Reforms as Afzal Naubahar Kayani as FBR Member Inland Revenue Service after merger of FBR Member Direct Tax Policy and FBR Member Indirect Tax Policy.
Mumtaz Haider Rizvi, (BS-21), Member, FBR, Islamabad have been transferred and posted as Member (Customs), FBR, Islamabad, Mahmood Alam, (BS-22) Member Indirect Tax Policy as Member Strategic Planning and Statistics. Ahmad Dildar, (BS-20) Chief (Admin) has been transferred and posted as FBR Member Legal (OPS), FBR, Islamabad. Tahir Raza Naqvi, (BS-21) an officer of District Management Group would join as FBR Member Administration, FBR, Islamabad and Abrar Ahmad Khan, Member (SP&S), FBR, Islamabad has been transferred and posted as Member (RGST/ERPS), FBR, Islamabad.
Under the new organisational structure of the FBR notified here on Wednesday, the Board has abolished the slots of FBR Member Domestic Operations North and FBR Member Domestic Operations South whereas the post of FBR Member Direct Tax Policy and FBR Member Indirect Tax Policy has been merged into a single post of FBR Member Inland Revenue. Similarly, the posts of The FBR Member Customs Operations and FBR Member Customs Policy have also been merged into a single position of FBR Member Customs.
According to the revamped structure of the Board, the FBR has suppressed Board's Officer Order of even number dated 30th June, 2009 regarding functional integration of tax administration, it has been decided to re-organise the structure of FBR as follows. The Federal Board of Revenue, headed by the Chairman shall henceforth, comprise of nine Members of BS-21 or BS-20 OPS of the FBR.
The following eight members shall be permanent Members of the Board:- Member Strategic Planning and Statistics (SP&S); Member Inland Revenue Service (IRS); Member Customs; Member Legal; Member Enforcement and Accounting (E&A); Member (Taxpayers Audit); Member (Administration) and Member Facilitation and Taxpayer Education (FATE). The post of Member Reformed General Sales Tax (RGST)/Expeditious Refunds Payment System (EPRS) will continue till first of January, 2012, only.
Under the previous set-up, 12 Members who had directly reported to the FBR Chairman, included FBR Member Enforcement and Accounting, FBR Member Direct Tax Policy, FBR Member Indirect Tax Policy, FBR Member Customs Operations, FBR Member Customs Policy, FBR Member Domestic Operations North, FBR Member Domestic Operations South, FBR Member Taxpayer's Audit, FBR Member Legal, FBR Member Administration, FBR Member Strategic Planning and Statistics along with FBR Member Taxpayer Education and Facilitation.
Following implementation of new structure, the new set-up would cover FBR Member Inland Revenue, FBR Member Enforcement and Accounting FBR Member Customs, FBR Member Taxpayer Audit, FBR Member Legal FBR Member Administration, FBR Member Strategic Planning and Statistics and FBR Member Taxpayer Education and Facilitation. There is no change in the number of support FBR members.
Sources said that the major change under the new organisational structure of the FBR is the abolition of the posts of FBR Member Domestic Operations North and FBR Member Domestic Operations South. The FBR Member Enforcement and Accounting would solely deal with the issue of enforcement and compliance at the level of field formations.
The FBR Member Domestic Operations (North) was responsible for supervising domestic tax operations of northern field offices. The DGs of RTOs Islamabad, Rawalpindi, Peshawar, Sialkot, Gujranwala, Abbottabad and LTUs Islamabad and Lahore were required to report to him. He was also doing the job of monitoring revenue collection and ensuring achievement of revenue targets by northern field offices. Any other duties assigned by Chairman FBR. The FBR Member Domestic Operations (South) was responsible for supervising domestic tax operations of southern field offices. The DGs of RTOs ie Karachi, Hyderabad, Sukkur, Multan, Faisalabad, Quetta and LTU Karachi were required to report to him. He was also monitoring revenue collection and ensuring achievement of revenue targets by southern field offices. Any other duties are assigned by the FBR Chairman.
Under the new organisational structure of Inland Revenue, all domestic taxes including income tax, sales tax and federal excise duty are covered under Inland Revenue. The FBR Member Direct Tax Policy and FBR Member Indirect Tax Policy have been merged into FBR Member Inland Revenue.
After merger of posts of the Member Customs Operations and FBR Member Customs Policy, only FBR Member Customs would deal with all the customs related matters. When the FBR had appointed 12 members in the past, it was considered to be major change under the restructuring process to separate the policy and operational side to ensure integration of direct and indirect taxes. Under the new administrative restructuring of the FBR, the number of Members directly reporting to the FBR Chairman has been reduced from 12 to nine, sources added.