FBR to hire 396 more private auditors to strengthen tax scrutiny

FBR Pakistan Karachi

Tax authority expands CRM-based audit system to boost compliance and revenue collection

The Federal Board of Revenue plans to hire an additional 396 private auditors by the end of June 2026 to strengthen tax scrutiny and improve compliance monitoring, according to official sources.

The move forms part of the tax authority’s broader transformation programme aimed at enhancing revenue collection through risk-based auditing and digital compliance systems.

CRM system expands audit selection process

Sources said the FBR has begun implementing its Compliance Risk Management (CRM) system for both corporate and non-corporate taxpayers.

Under the revised audit workflow introduced by March 2026, all audit cases are now being selected through CRM-based risk identification. More than 150 tax officers have already received training on the system.

Local tax commissioners will assign identified cases either to field officers or newly recruited external auditors.

Hundreds of auditors already hired

According to the sources, the FBR had hired 431 auditors by the end of March 2026 and plans to recruit another 396 by the end of June.

Officials said audit cases flagged by the CRM system could only be rejected under documented circumstances such as recently completed audits or pending legal proceedings.

Revenue target linked to stronger scrutiny

The enhanced audit mechanism is expected to generate an additional Rs92 billion in revenue during fiscal year 2026-27, the sources added.

Authorities also plan to centrally monitor the quality and timeliness of audits, with accountability measures for delays or weak audit performance.

Performance indicators introduced

The effectiveness of the new audit framework will be measured through two key performance indicators (KPIs).

These include the value of audit adjustments paid within 120 days after completion of audits and the percentage of completed cases resulting in paid audit adjustments within the same period.

Separate performance tracking will be maintained for Large Taxpayers Office cases and other regional tax offices.