ISLAMABAD: A World Bank mission will visit the Federal Board of Revenue from July 14-25, 2011 to review the progress on the Expeditious Refund System (ERS), changes in the organisational structure of the FBR and strategy for meeting the FY12 revenue collection target of Rs 1,952 billion.
Sources told Business Recorder here on Tuesday that the WB supervision mission would also review the Tax Administration Reform Project (TARP) particularly issues relating to the ERS, procurement, impact of recent organisational changes and progress on the ongoing reforms in the tax administration.
The WB mission will meet the FBR team of tax managers including FBR Chairman Salman Siddiq, FBR Members and Project Director TARP. The mission members include Daniel Alvarez, Orlando Reos, Celita Janyna Rhor and other consultants. The WB mission will also visit the Large Taxpayer Unit (LTU) Lahore, Regional Tax Office Lahore to review the IT systems pertaining to refunds and other issues confronted by taxpayers in the field formations.
According to sources, the mission objective is to jointly review the project status with the FBR and other stakeholders such as the Ministry of Finance and Department for International Development (DFID), and agree on a set of actions to improve and sustain project performance until the project closing date of December 31, 2011. In particular, the mission will review and assess various aspects of tax administration reform implementation and assess progress against the revised Project Development Objective and Key Performance indicators (KPIs), as approved during the restructuring.
The mission will discuss with the FBR top management their reform priorities and the results from the recent organisational changes, in the context of the earlier agreed Action Plan and the limited time available until the project closing date (focusing on human resource management and organisational issues).
It would support FBR in implementing agreed actions. In particular, it will focus on reviewing progress on organisation and management and settlement of claims under the expeditious refund system, and recommend any adjustments that are required for improving FBR effectiveness for the short and medium term. The mission will supervise project implementation, including physical and financial progress, status of project procurement, adherence to safeguard policies and procedures, and status of disbursements and audit related matters.
Sources said that the WB mission will reach agreement with FBR on an updated set of critical procurement activities than can be reasonably completed by the project closing date within the amount of undisbursed funds that remain available. It would review and agree on the revised disbursement projections until the end of the year.
The WB has further informed the FBR about the mission composition and responsibilities during the review of the TARP: Firstly, Daniel Alvarez (SASGP) will co-ordinate the mission's work as Task Team Leader (TTL) of the project, and also co-ordinate from HQ the preparation of the consolidated mission Aide Memoire.
Secondly, Mohammed Tagi Sharif, a consultant will review implementation progress of the project in co-ordination with other team members, and provide technical advice and inputs for the draft Aide Memoire; (b) take lead responsibility for the preparation of the draft Aide Memoire; (c) work closely with the lead economist to ensure that policy and sector issues summarised in the Aide Memoire are consistent with the agreements reached between the Bank and the GoP on macroeconomic issues; (d) provide support to the TTL on any other matters that may arise during the mission, and (e) work with the TTL/other team members to have the Aide Memoire and the Management Letter cleared with Bank management for issuance soon after end of the mission.
Thirdly, Orlando Reos, consultant, will focus on FBR Organisation and Management issues with emphasis on aspects related to human resource management and identification of changes in managerial responsibilities due to recent modification of the organisational structure of RTOs/LTUs. In particular, he will: (a) assess the possible future effects of these changes on FBR effectiveness; (b) assess progress on the process of approval and implementation of a new HRM policy and issues associated with HR modernisation, effectiveness and integration; (c) recommend policy changes that, on realistic grounds, can be implemented before project closing (eg jobs description and classification, employees' selection process, staff appraisal, mobility rules and rewards and compensation mechanism); (d) determine progress in training activities as part of the modernisation program and estimate realistic goals for staff training to be completed before December 31, 2011; (e) support the design and implementation of training focused on business processes, operational requirements and a Mid-Level Staff (grades 7 to 14) productivity enhancement program; and (f) provide inputs for the mission Aide Memoire.
Fourthly, Celita Janyna Rhor will participate in the mission from Islamabad. As the designated Procurement Specialist, she will review the procurement issues pertaining to project implementation and provide inputs for the mission Aide Memoire.
Fifthly, Syed Waseem Abbas Kazmi will participate in the mission from Islamabad. As the designated Financial Management (FM) Specialist, he will review the financial management issues pertaining to project implementation, agree on actions to be taken on outstanding issues identified in project financial/ audit reports, and provide inputs for the mission Aide Memoire. Sixthly, Anwar Ali Bhatti will provide inputs for the missions Aide Memoire on disbursement related matters.
Seventhly, Javaid Afzal, consultant will provide inputs to the mission's Aide Memoire relating to safeguards' issues. Eight, Shafqat Manzoor Mirza will participate in the mission from Islamabad. He will be responsible for mission logistics and co-ordination, sources added.