ISLAMABAD: Prime Minister Shehbaz Sharif directed authorities on Thursday to increase the number of Appellate Tribunals from 50 to 100, to expedite the resolution of pending tax cases while asking the Federal Board of Revenue (FBR) to bring affluent individuals under the tax net.

The premier held a follow-up meeting with top FBR officials to review the performance of several tax projects that have been delayed for over three years. This was one of several meetings held by the prime minister to direct the FBR to speed up the digitalisation of the tax system.

He also directed an increase in the number of Appellate Tribunals for Customs cases and the creation of a dashboard to assess the performance of these tribunals.

During the meeting, a minister proposed appointing an FBR deputy chairman to oversee the reforms’ implementation. However, a ministerial committee will examine the idea before it is sent to the prime minister for approval, a source privy to the meeting told Dawn.

The FBR officers informed the prime minister that 83,579 tax-related cases totalling Rs3.2 trillion were pending in various courts and tribunals. According to officials, the government has taken some initiatives to resolve outstanding tax matters. Various courts disposed of 63 lawsuits totalling Rs44bn during the last four months.

Mr Shehbaz directed the FBR to hire top lawyers in high-paying cases.

He was also briefed on the work of McKinsey, a globally known consultant who has overseen the FBR’s digitisation process for the previous eight weeks. The premier directed that the procedure be completed as soon as possible.

Tax officials informed the premier that sophisticated technology has identified 4.9m people who are able to pay taxes. Mr Shehbaz has asked to prioritise bringing wealthy individuals into the tax net while ensuring that the underprivileged bear no additional burden.

During the briefing, it was stated that since April 1, 150,000 retailers had registered through the FBR’s trader-friendly mobile app. Mr Shehbaz directed the implementation of a unified sales tax system for all taxpayers by October.

The premier was briefed that the telecom sector successfully implemented a unified sales tax return system for taxpayers’ convenience.

The prime minister regretted the unnecessary delay in implementing several projects related to the FBR reforms.

Published in Dawn, July 19th, 2024

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