The anticipated restructuring plan for the Federal Board of Revenue (FBR) has been postponed by the caretaker cabinet, which has suspended the notification indicating its preliminary approval.
The notification regarding the restructuring, which had initially been approved in principle, has been halted temporarily, awaiting action from the incoming government.
According to sources, the caretaker federal cabinet recently approved the reorganization of the FBR. However, the notification concerning this decision has been put on hold for the time being. To proceed with the restructuring, legislative changes will be required, necessitating amendments to more than a thousand tax laws.
The restructuring plan, which involved the creation of a Federal Tax Policy Board and the division of Customs and Inland Revenue departments, has been delayed. This comes amidst reservations expressed by the FBR’s tax machinery regarding the proposed restructuring.
Now, with the caretaker government’s decision to postpone implementation, the matter will be presented to the newly elected coalition government for consideration. The fate of the FBR’s restructuring plan and its subsequent execution will be determined by the incoming administration once it assumes office.
