New framework enables Inland Revenue authorities to perform assigned functions through algorithm-based systems while maintaining confidentiality.
The Federal Board of Revenue (FBR) has officially notified the implementation of the National Faceless Jurisdiction framework under the amended provisions of the Sales Tax Act, 1990, updated through June 30, 2026.
The move is aimed at modernizing tax administration by allowing designated Inland Revenue authorities to perform assigned functions through a centralized and technology-driven system.
According to the notification, Inland Revenue officers appointed at the National Faceless Centre will be authorized to exercise powers and perform functions assigned to them for specific taxpayers, categories of taxpayers, or designated tax periods.
These assignments will be made through algorithms developed by the FBR, introducing a more automated and data-driven approach to tax administration.
The notified framework states that the jurisdiction allocated to officers at the National Faceless Centre may either be exclusive or concurrent.
This means tax-related proceedings can be handled solely by the designated authorities or shared with other relevant Inland Revenue officers, depending on the nature of the case and administrative requirements.
The FBR has also retained the authority to transfer jurisdiction from the National Faceless Centre to an Inland Revenue officer who otherwise has territorial jurisdiction over a taxpayer.
Such transfers may be made either on the recommendation of the Chief Commissioner or on the Board’s own initiative for a specific tax period.
Under the new arrangement, the Chief Commissioner at the National Faceless Centre may seek assistance from field formations for physical verification when required.
These verifications may include assessment of business operations, assets, investments, expenditures, and other relevant information needed for ongoing proceedings. The Board may also allocate verification assignments through an algorithm-based mechanism.
A key feature of the framework is the confidentiality of officers handling cases. The law provides that the identity of authorities exercising jurisdiction at the National Faceless Centre will remain confidential from registered persons, their authorized representatives, and any unauthorized individuals. This provision is intended to strengthen impartiality and reduce direct interaction during proceedings.
Furthermore, the notification clarifies that notices, orders, or communications issued by authorities at the National Faceless Centre cannot be challenged solely on the grounds of jurisdictional issues, delegation concerns, or the confidentiality of the officer’s identity.
The measure is expected to support greater efficiency, transparency, and consistency in tax administration across Pakistan.