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BusinessπŸ“ PAKISTAN

FBR Pledges Sweeping Reforms to Eliminate Tax Evasion and Non-Filers

The Federal Board of Revenue has signalled extensive structural reforms and institutional restructuring aimed at completely eliminating the concepts of tax evasion and non-filers from Pakistan's fiscal system. Officials described the planned changes as the most ambitious overhaul of the revenue authority in recent memory.

The reforms encompass digital integration of tax records, third-party data sharing with financial institutions and utility providers, and enforcement actions against persistent non-filers. The objective is to shift from a system reliant on voluntary compliance to one backed by comprehensive data-driven enforcement.

FBR's structural changes are also expected to address internal inefficiencies, including departmental fragmentation and inconsistencies in audit selection and enforcement. The authority has faced sustained criticism for its inability to significantly expand the taxpayer base despite repeated initiatives.

The announcement is significant in the context of Pakistan's ongoing IMF Extended Fund Facility programme, which has set revenue collection benchmarks as a core conditionality. Meeting these targets is essential for continued disbursements and maintaining macroeconomic stability.

#FBR#TaxReform#PakistanEconomy#TaxEvasion#StayTunedPK
Sources: brecorder.com
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