Islamabad: The Federal Board of Revenue (FBR) has initiated a comprehensive effort to enhance tax collection and meet its ambitious revenue targets for the fiscal year 2024-25. On August 28, the FBR announced the formation of a 32-member task force, comprising experts from the Inland Revenue Service and Pakistan Customs, to address the gaps in the current tax system and improve revenue generation.
The primary goal of this initiative is to achieve a revenue target of Rs 12.9 trillion for the upcoming fiscal year, which represents a significant 41% increase over the previous year’s target. The task force, under the leadership of FBR Chairman Rashid Mahmood Langrial, will adopt a three-phase strategy. This approach involves identifying weaknesses in the existing tax framework, establishing a timeline for implementing necessary corrective actions and estimating the additional revenue that could be generated from these reforms.
The task force, which includes 22 officers from the Inland Revenue Service and 10 from Pakistan Customs, has already begun its work and is scheduled to hold its first meeting on August 30. The group has been given a two-week deadline to produce a detailed report outlining the gaps in the tax system. This report will cover all key areas of taxation, including income tax, sales tax, federal excise duty, and customs duty. In addition, the report will propose specific measures to address these gaps and highlight potential revenue gains from these interventions.
According to an official notification, the task force will focus on several key reform areas, particularly within tax administration. These areas include procedural improvements, technological enhancements, better resource allocation, and taxpayer facilitation. Chairman Langrial emphasized that the task force’s strategy will be grounded in practical solutions tailored to Pakistan’s unique needs rather than relying on models from other countries. This localized approach aims to ensure that reforms are both effective and sustainable in the long term.
In addition to forming this task force, the FBR has also set up a new team dedicated to tax data analytics. This specialized team will analyze data related to income tax and sales tax to uncover additional gaps in the system and identify opportunities for further revenue enhancement. The focus on data-driven insights reflects the FBR’s commitment to modernizing its approach to tax collection.
This proactive initiative demonstrates the FBR’s determination to strengthen tax collection mechanisms and achieve its ambitious revenue targets for the fiscal year 2024-25, positioning Pakistan’s tax system on a more sustainable and efficient path.
