FBR, KTBA Agree on Measures to Enhance Tax Administration and Taxpayer Services

The Federal Board of Revenue (FBR) and the Karachi Tax Bar Association (KTBA) have agreed on a series of measures aimed at improving tax administration, resolving IT-related issues, and enhancing taxpayer facilitation.

 

The agreement was reached during a meeting between FBR Chairman Rashid Mehmood Langrial and a KTBA delegation led by President Mehmood Bikiya, with senior FBR officials and representatives from Pakistan Revenue Automation Limited (PRAL) also in attendance.

 

The KTBA welcomed the FBR's digitisation initiatives, including faceless audits and assessments, while emphasizing the need for stronger coordination between the FBR and PRAL to improve tax return filing systems and digital taxpayer services.

 

To strengthen engagement with stakeholders, the FBR chairman directed Member Inland Revenue (Operations) Zubair Bilal to hold monthly coordination meetings with the KTBA to address technical issues and improve tax administration.

 

The FBR also agreed to introduce a standard operating procedure (SOP) with defined timelines for resolving IT-related issues through PRAL's Karachi office. In addition, PRAL will establish a direct liaison mechanism with the KTBA to speed up the resolution of issues related to the IRIS online tax return system.

 

The meeting also discussed refunds linked to the Federal Constitutional Court's ruling on Section 7E, with the KTBA urging the FBR to process refunds proactively. In response, Langrial directed the legal wing to develop a simplified mechanism that would allow taxpayers to claim refunds without following lengthy conventional procedures.

 

The KTBA further called for faster approvals of tax exemptions to facilitate foreign investment. The FBR chairman said efforts are underway to streamline the approval process to support investment inflows.

 

Participants also reviewed measures to promote awareness of the Shopkeepers Scheme, with the FBR announcing that a simplified tax return form for the initiative is expected to be launched by August 10, 2026.

 

Langrial added that the FBR is deploying advanced data analytics and algorithms to identify under-reporting and tax misdeclarations, while urging tax practitioners to encourage accurate and complete tax filings to improve compliance.