ISLAMABAD: Prime Minister Shehbaz Sharif Friday approved the Federal Board of Revenue’s homegrown transformation plan with third-party audit of FBR projects and strict action or restrictions on financial transactions against taxpayers failing to timely pay full taxes or involved in fraud.

The prime minister chairing a meeting to review the matters related to the FBR, directed the authorities concerned to formulate a comprehensive strategy to improve FBR’s enforcement, according to the PM Office.

Prime Minister Shehbaz Sharif has said the digitisation of the Federal Board of Revenue (FBR) and its improved enforcement mechanism were the need of the hour to bring about economic reforms in the country.

PM for accelerating FBR transformation

He called for consulting the prominent taxpayers and all stakeholders on the FBR transformation plan and seeking approval of amendments in coordination with the relevant government departments for their effective implementation.

Calling the FBR the backbone of the national economy and appreciating its transformation plan, he said enhanced tax receipts would upgrade service delivery and the social sector.

The prime minister said the promotion of the private sector was among government priorities calling it inevitable for a strong economy.

He instructed the third-party audit of FBR’s projects and expedited efforts to curb smuggling.

During the briefing, Prime Minister Shehbaz was told that the FBR transformation plan featured effective utilisation of technology, awarding efficient officers to improve tax receipts, and improving enforcement of taxation laws.

Formulated by FBR officers and experts within the last 40 days, the program would ensure tax collection without impeding economic development besides facilitating the honest taxpayers. It also provides for strict action or restrictions on transactions against those failing to pay full tax on time or those involved in fraud, to prevent tax evasion.

The meeting was informed that such enforcement measures would be enforced after consultation with the compliant taxpayers.

The meeting approved the FBR’s Home Grown Transformation Plan which has been formulated on the prime minister’s directives in consultation with economic and technological experts after analysing the tax receipts during the last 25 years.

In the first phase, the efficient and competent officers would be posted in Karachi, the large taxpayer unit contributing 32%of receipts, who would be assisted by the auditors and experts.

The plan also features the reward for best-performing officers, and a mandatory professional degree from the best universities for the officers, after their common and specialised training programs.

The participants were told that in order to curb custom duties theft, an appraisal and enforcement mechanism had been devised to assign the task to appraisers and inspectors without their prior knowledge, who would also be monitored through cameras.

A carrot and stick policy would be enforced for customs inspectors and new check posts would be set up in collaboration with the FWO to curb smuggling.

Federal ministers Ahsan Iqbal, Azam Nazeer Tarar, Ahad Khan Cheema, Muhammad Aurangzeb, Abdul Aleem Khan, and Dr Musadik Malik, Minister of State Ali Pervaiz Malik, Coordinator to PM Rana Ehsan Afzal, Attorney General Mansoor Awan, State Bank Governor Jameel Ahmed, FBR Chairman Rashid Mehmood Langrial and relevant senior officers attended the meeting.

Copyright Business Recorder, 2024