Prime Minister Shehbaz Sharif directed tax authorities to accelerate the implementation of Federal Board of Revenue reforms during a weekly review meeting in Islamabad, according to Radio Pakistan. The government is pressing forward with stronger tax enforcement and digital modernization to meet national revenue collection targets.
Enforcement Actions and Regional Oversight
During the Islamabad review, Prime Minister Shehbaz Sharif instructed the Federal Board of Revenue to maintain strict enforcement measures against smuggling, tax evasion, and illegal businesses, according to the Associated Press of Pakistan. The Prime Minister specifically commended recent enforcement actions against illegal cigarette manufacturing factories located in Chakwal and Swabi, as reported by Radio Pakistan.
To ensure rigorous administrative oversight, the Prime Minister directed the Chairman of the Federal Board of Revenue and senior officers to base themselves in Karachi and Lahore for two days every month, according to Radio Pakistan.
Digital Modernization and Faceless Systems
Tax authorities are scaling up digital infrastructure to improve compliance and transparency. The first phase of a new artificial intelligence and modern technology-based faceless Inland Revenue system is scheduled to become operational on October 1 of this year, according to Radio Pakistan. The complete rollout of the faceless system must reach full implementation by 2027.
Radio Pakistan notes that the technological upgrade incorporates a National Faceless Audit Wing dedicated to auditing tax returns, alongside a Faceless Assessment Unit designed to handle assessments.
Business Community Engagement and Administrative Relief
Prime Minister Shehbaz Sharif acknowledged the growing confidence of the business community in ongoing tax reforms, according to Radio Pakistan.
The Karachi Tax Bar Association urged the Federal Board of Revenue chairman to simplify procedures for the swift issuance of tax refunds, according to Business Recorder. Representatives from both the Federal Board of Revenue and the Karachi Tax Bar Association subsequently agreed on joint measures to improve overall tax administration and elevate taxpayer services, according to The News Pakistan.
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