FTO Reports 67% Surge in Taxpayer Complaints Against FBR

FTO Reports 67% Surge in Taxpayer Complaints Against FBR

The Federal Tax Ombudsman (FTO) Secretariat has reported a dramatic 67% increase in taxpayer complaints filed against the Federal Board of Revenue (FBR) this year, reflecting rising dissatisfaction and a renewed commitment to transparency within Pakistan’s tax administration.

During a press briefing, Almas Ali Jovindah, Advisor for the FTO’s Legal & Media Wing, disclosed that the FTO received 10,515 complaints over the last 10 months, of which 9,900 have been successfully resolved — a commendable improvement over previous years.

Jovindah underscored that actionable measures against corrupt tax officials rely on formal complaints from affected taxpayers. He encouraged the business community to utilize the FTO’s services without fear of retribution, noting that reports of bribery or illicit demands should be brought directly to the FTO to ensure accountability within the FBR.

Highlighting advancements in the FTO’s complaint resolution process, Jovindah emphasized the increased application of Section 33 of the FTO Ordinance, which supports informal dispute resolution. This procedural refinement has significantly accelerated complaint processing, providing a faster, less bureaucratic route for taxpayers to resolve disputes.

A particularly impactful outcome of the FTO’s interventions has been the swift processing of delayed tax refunds. Over the past 10 months alone, Rs 2 billion in refunds have been disbursed to taxpayers, a substantial increase from the Rs 17.742 billion refunded in all of 2023. Additionally, the FTO initiated a record 31 “own-motion” investigations this year, addressing systemic issues within the tax administration and reinforcing its commitment to tackling widespread grievances.

The surge in complaints has prompted the FTO to intensify its outreach, with 117 sessions conducted in 2024 to educate taxpayers on their rights and the ombudsman’s role in securing them. Jovindah acknowledged that a seasoned advisory team has contributed to this progress, fostering trust and empowering taxpayers to seek redress confidently.

Furthermore, the FTO’s modernization efforts have been instrumental in enhancing accessibility. With the adoption of digital platforms like custom Zoom links for remote hearings, the FTO has streamlined its adjudication process, making it accessible to Pakistani taxpayers residing abroad in countries such as the United States, Canada, Saudi Arabia, and China. These technological advancements have not only improved efficiency but also provided a reliable, paperless solution for those seeking justice from afar.

The 67% increase in complaints signals that taxpayers are more proactive in holding tax authorities accountable, a shift welcomed by the FTO as it continues to fortify Pakistan’s tax administration and support equitable treatment for all taxpayers.