Islamabad, September 11, 2025 – The Federal Board of Revenue (FBR) recently convened an important session with the Overseas Investors Chamber of Commerce and Industry (OICCI) and the Pakistan Business Council (PBC).
The purpose of this engagement was to provide stakeholders with an in-depth understanding of the wide-ranging transformation strategy being undertaken by FBR. The session was chaired by Chairman Rashid Mahmood and attended by prominent representatives of leading local and multinational enterprises.
During the meeting, Dr. Hamid Ateeq Sarwar, Member Inland Revenue Operations, delivered a detailed presentation on the roadmap of the transformation initiative, originally endorsed by the Prime Minister in October 2024. He highlighted that the reform agenda is structured around three major pillars: human resource development, technological advancement, and process re-engineering.
As part of human capital reforms, FBR has initiated the recruitment of nearly 1,600 new auditors to strengthen the organization’s audit capacity. To ensure professionalism, fresh recruits will undergo specialized training at top-tier universities, aligning their skills with global corporate benchmarks. Moreover, senior appointments are now being made on merit, with officers assessed through a transparent Reward and Rating System and incentivized with performance-linked benefits.
On the technology front, business leaders were informed about digital production monitoring across vital sectors such as cement, fertilizer, sugar, beverages, poultry, textiles, and tobacco. The integration of data sources and automation of processes will enhance transparency and accountability. Artificial Intelligence (AI) tools are also being deployed to identify high-risk cases for audits, while new systems will allow the department to detect tax evasion more effectively.
Participants were shown live demonstrations of digital solutions that are already yielding results. Notably, the tax-to-GDP ratio has improved from 8.8% in 2023–24 to 10.24% in 2024–25, showcasing tangible gains from the reforms. Similarly, the introduction of “Faceless Customs Appraisement” has boosted revenue per Goods Declaration (GD) by 17.3% and reduced dwell times at ports, thereby cutting demurrage costs for importers. Enforcement efforts have also borne fruit, with tax collection through enforcement increasing eightfold in just one year.
The Chairman stressed that FBR is equally committed to taxpayer facilitation. A dedicated Facilitation Division has been established at the Large Taxpayers Office (LTO) in Karachi, where senior officers are personally addressing taxpayer concerns. He also suggested forming a joint committee of FBR, PBC, and OICCI representatives to resolve challenges related to valuation rulings and other compliance issues.
Business leaders welcomed these initiatives and acknowledged the positive momentum created by the ongoing reforms. They expressed optimism that such measures would not only expand the tax net but also ease the burden on compliant taxpayers.
In closing, the Chairman thanked participants for their constructive feedback, underscoring the importance of continued dialogue between FBR and the business community. Representatives from OICCI and PBC commended the reform program and emphasized that such collaborative sessions should become a regular feature in the future.