Minister of Law and Justice Azam Nazeer Tarar said Thursday that reforms in the Federal Board of Revenue (FBR) are a top priority for the government, Radio Pakistan reported.
Addressing a news conference flanked by Minister for Information and Broadcasting Attaullah Tarar in Islamabad, he said for the first time the sitting parliament passed a law related to tax tribunals and tax-related cases, which will expedite the process for solution of cases.
FBR restructuring plan: Major impediment to implementation seems to be bureaucracy itself
The Minister said there are more than 2700 billion rupees in tax-related cases pending in the courts.
He said under the new law, tax appeals up to the tune of twenty million rupees would be taken up by the Tax Commissioners, while tax appeals of more than twenty million rupees would be addressed by the tax tribunals.
He said the recent shuffling in the FBR is aimed at improving its governance and efficacy and it has nothing to do with the disciplinary performance of its staff.
The Minister said FBR has a pivotal role in the revival of our economic landscape and its revamping is also a part of the resolve expressed by the Prime Minister for improving the capacity of this institution through sectoral reforms.
The restructuring plan of the FBR has been finalized. According to sources, the Apex Committee of the Special Investment Facilitation Council (SIFC) has approved the FBR’s reforms and restructuring plan.
FBR restructuring plan finalised
The Customs will be separated from the revenue collection mechanism for tracking the smuggling and other elements, while the revenue collection will remain a mandate of the FBR. A separate Inland Revenue Board may also be established under the supervision of the Revenue Division.
Under the tax reform program, five federal secretaries, including Finance, Industries and Production, National Food Security, Commerce, and Interior will be ex-officio members of the Customs Board.
Speaking on the occasion, Minister for Information and Broadcasting Attaullah Tarar said the recent visit of Prime Minister Muhammad Shehbaz Sharif to Saudi Arabia remained quite successful.
He said the premier held twelve high-level meetings with the Saudi Ministers and entities of different financial institutions, focusing on economic revival and bringing foreign investment to Pakistan.
He said during those meetings, the Saudi Ministers and businessmen expressed their commitment to work with Pakistan.
Attaullah Tarar said PM Shehbaz, within one month, met with the Saudi Crown Prince twice, which is a significant development.
He said a high-powered Saudi delegation, comprising businessmen and investors will be visiting Pakistan within a few days to hold talks on a comprehensive roadmap for the economic revival of Pakistan.
He said this roadmap has been designed on the special directives of the Saudi Crown Prince to the Saudi Ministers during meetings with Pakistani leadership, which will open up a new avenue of Pak-Saudi cordial bilateral relations.