The Federal Board of Revenue (FBR) has announced the formation of a dedicated policy cell tasked with shaping the Finance Bill for the fiscal year 2024-25.
This initiative underscores the FBR’s commitment to refining the process of tax legislation in Pakistan.
The newly established policy cell will operate under the guidance of the Member IR Policy, playing a crucial role in assembling tax proposals for the upcoming budget. This strategic group includes seasoned tax professionals and policy experts from various parts of the country.
Headed by Shabih-ul-Aijaz, a BS-20 IRS officer and Commissioner-IR at the Large Taxpayers Office (LTO) in Lahore, the cell is set to bring a wealth of experience and expertise to the fore. Joining him are Dr. Najeebullah and Ajaz Hussain, both BS-20 IRS Commissioners from Karachi and Islamabad, respectively. They are well-versed in the intricacies of tax regulation and have played pivotal roles in their current assignments.
The team is further strengthened by Naseebullah, a BS-19 IRS officer serving as Additional Commissioner IR at the LTO Karachi, and Ms. Sadaf Ihsan, a BS-18 IRS officer, who is currently the Second Secretary (IRS OPS) at the FBR Headquarters in Islamabad. Together, these members will collaborate closely to draft a comprehensive and effective Finance Bill.
The establishment of the policy cell is a response to the growing need for a more structured and informed approach to tax policy formulation. By consolidating expertise from across the nation’s major tax offices, the FBR aims to enhance the quality and effectiveness of legislative proposals, ensuring they are both innovative and aligned with global best practices.
The primary responsibility of the cell is to gather, evaluate, and integrate policy proposals from diverse forums, including industry stakeholders, tax professionals, and the public. This collaborative and inclusive approach is expected to enrich the legislative process, providing a more rounded and equitable tax system.
“The formation of this policy cell is a step towards institutionalizing the process of tax legislation in Pakistan,” said an FBR spokesperson. “By harnessing the specialized skills and deep knowledge of its members, the cell is expected to craft a Finance Bill that not only addresses the current economic challenges but also ensures sustainable revenue generation for the country.”
Moreover, the policy cell will function as a think-tank within the FBR, offering advice and support directly to the Member IR Policy and the Chairman of the FBR. This setup is designed to facilitate a streamlined decision-making process, allowing for quicker and more effective responses to the dynamic needs of Pakistan’s economy.
Stakeholders from various sectors have welcomed this initiative, expressing optimism that a focused and expert-driven approach to tax policy will lead to more transparent, fair, and growth-oriented fiscal legislation. As Pakistan faces economic headwinds, the role of effective tax policy in economic stabilization and growth becomes even more critical.
The policy cell will begin its operations immediately, with the daunting task of drafting the Finance Bill 2024. Their work is not only expected to impact the upcoming fiscal year but also set a precedent for future tax policy formulation in Pakistan.