Prime Minister Shehbaz Sharif has highlighted the importance of digitizing the taxation system to prevent billions of rupees in tax evasion. On Friday, he instructed the relevant authorities to immediately create a dashboard to monitor the ongoing digitization and implementation of these reforms.
During a meeting to review the Federal Board of Revenue (FBR) reforms, the prime minister directed that taxable non-filers be brought into the tax net. He also ordered the removal of discretionary powers of customs appraisers and requested an implementation report from the FBR chairman within 24 hours.
The briefing on FBR’s digitization revealed that 4.5 million taxable individuals not part of the tax net had been identified. Additionally, due to the government’s measures, over 300,000 more individuals filed their tax returns within a few weeks.
The meeting also revealed that refunds for 4,000 companies had been halted in the last two weeks following the detection of under-invoicing and fake sales tax refunds.
According to PM Shehbaz, tax evaders and the officials and employees who assisted them would face consequences. He promised recognition for individuals who paid their taxes on time and asked for an in-depth analysis of the scope of tax evasion and the steps being taken to stop it.
The prime minister committed to implementing a tax structure that complies with global norms. He urged the participation of respected specialists and professionals in creating tax policy. He was looking for a detailed plan that included goals for the upcoming meeting and a digitalization and reformation strategy for FBR.
He also announced plans to install advanced scanners at seaports to ensure transparency and prevent corruption in the system.
Federal ministers Muhammad Aurangzeb and Ahad Khan Cheema, Minister of State Ali Pervaiz Malik, PM’s Coordinator Rana Ehsan Afzal, the FBR chairman, Pakistan Business Council CEO Ehsan Malik, and Karandaz CEO Waqasul Hassan attended the meeting. Dr. Shamshad Akhtar, Naveed Andrabi, Asif Pir, and Ali Malik joined the meeting via video link.
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