ISLAMABAD: Prime Minister Shehbaz Sharif on Monday warned tax officers that resistance to reforms in the Federal Board of Revenue (FBR) would not be tolerated, directing authorities to accelerate measures aimed at reducing Pakistan’s tax gap.
Sharif issued the warning during a weekly briefing on tax reforms, after the Inland Revenue Officers Association called for a pen-down strike. The strike call was later withdrawn following intervention by senior FBR officials.
“We will not tolerate any resistance against the ongoing reforms in the FBR,” the prime minister said, according to a source familiar with the meeting. “Officers unwilling to work will be asked to leave.”
Incentives and accountability
Sharif reminded officers that their salaries had been increased fourfold and that they had been provided vehicles and accommodation. He said they now had a responsibility to deliver results and justify the incentives.
The prime minister directed FBR Chairman Rashid Mahmood Langrial to speed up the rollout of the faceless tax-collection system. He said reforms were in the larger interest of the state and would continue “under all circumstances.”
He also called for indiscriminate action against corrupt officials, while saying officers who improved their conduct and performance should be given an opportunity to reform.
Faceless assessment pilot
The FBR has established the National Faceless Centre in Islamabad, where dedicated wings will conduct audits and assessments without direct contact between tax officials and taxpayers. The system is intended to reduce official discretion.
Initially staffed by 27 officers, the centre will audit and assess third-party data relating to 300,000 to 400,000 individuals under a pilot project that took effect Oct. 1. The data will be referred to the centre in phases after initial compliance checks.
The Prime Minister’s Secretariat said Sharif directed that the pace of FBR reforms be accelerated, noting that early results were encouraging. He emphasized that the institution’s capacity must be strengthened to bridge the tax gap.
Officers suspended
Separately, the FBR suspended two Inland Revenue Service officers — one in grade 20 and one in grade 19 — and repatriated two other grade-20 officers to FBR headquarters for further investigation. The action related to an unauthorized press statement and a call to suspend official work.
