Islamabad, August 5, 2025 – Prime Minister Muhammad Shehbaz Sharif on Tuesday directed the immediate removal of red tape and institutional hurdles to ensure the permanent and effective implementation of wide-ranging reforms within the Federal Board of Revenue (FBR).
While chairing a high-level meeting on matters related to the FBR, Shehbaz Sharif expressed satisfaction over the recent rise in the tax-to-GDP ratio, attributing the progress to reform efforts initiated by the federal government. He reiterated the government’s commitment to supporting institutional transformation and reaffirmed his full backing for ongoing changes within the FBR.
“I, along with the federal government, fully support the reform initiatives of the FBR. We must now ensure uniform and nationwide implementation, especially of revolutionary customs clearance reforms,” said Shehbaz, urging the use of modern technology to reduce processing times and enhance efficiency in customs procedures.
The premier emphasized the need for close collaboration between federal and provincial authorities to sustain the momentum of increased tax collection achieved through FBR reforms. He highlighted that consistent application of already-imposed taxes will be key to expanding the revenue base in the upcoming fiscal year.
A robust strategy, involving coordination among the FBR, federal institutions, and provincial governments, was ordered to further enhance the tax-to-GDP ratio. Prime Minister Shehbaz made it clear that the set timelines and reform targets for the next fiscal year will not be revised under any circumstances.
To improve public awareness and trust in tax and customs systems, Shehbaz directed the FBR and customs departments to enhance their outreach in partnership with the Ministry of Information and Broadcasting. He also praised the initiative to launch the income tax return form in Urdu—developed under his special directive—which is expected to benefit 84% of tax filers by simplifying the filing process.
During the meeting, it was revealed that the FBR has already achieved its revenue collection target for July, the first month of FY2025–26. Officials also informed the Prime Minister that digital enforcement stations for customs clearance are being rolled out on a priority basis.
Additionally, the implementation of the Centralized Assessment Unit (CAU) and faceless customs system is underway, aimed at ensuring transparency and efficiency. The meeting concluded with updates on ongoing policy changes and reforms in various sectors, aligned with the broader reform vision.
The meeting was attended by senior cabinet members, including Ministers Ahad Khan Cheema, Attaullah Tarar, Azam Nazeer Tarar, Ali Pervaiz Malik, Bilal Azhar Kayani, the Attorney General, and the Chairman FBR, among other high-ranking officials.