Summary
- Finance Minister Muhammad Aurangzeb shared the details during his budget speech in the National Assembly.He said the system will compare taxpayer-declared data with Federal Board of Revenue (FBR) records.
- He said all data will be processed through a fully digital system.The system will operate under official supervision.
- Instead, the focus will be on comparing declared income with digital records.The minister said the FBR will primarily verify whether declared data matches system-generated information.
The federal government has announced a new automated system to identify discrepancies in tax records.
Finance Minister Muhammad Aurangzeb shared the details during his budget speech in the National Assembly.He said the system will compare taxpayer-declared data with Federal Board of Revenue (FBR) records.
If any mismatch is found, the system will automatically generate an assessment offer.The offer will be based on the taxpayer’s past record and the nature of the discrepancy.
The finance minister said taxpayers will be informed through the IRIS online portal.He added that taxpayers who accept the offer will be required to correct their tax returns.
They will also need to pay the due amount.After compliance, the case will be considered closed.
Aurangzeb said third-party data will continue to be shared with the FBR.This includes transaction records from financial institutions and other sources.
He said all data will be processed through a fully digital system.The system will operate under official supervision.
The government is also integrating multiple data sources into one platform.These include property registries, vehicle registrations, banking records, and utility bills.
The finance minister said this integration will help create risk profiles of taxpayers.He said the goal is to identify inconsistencies more efficiently.
According to him, the FBR will no longer depend mainly on manual checks or physical inspections.He said the new system will reduce the need for secret information or field investigations.
Instead, the focus will be on comparing declared income with digital records.The minister said the FBR will primarily verify whether declared data matches system-generated information.
He added that the reform is part of broader efforts to modernize Pakistan’s tax system.The government aims to improve transparency, strengthen compliance, and expand the tax base.
Officials say the digital system will make tax administration more efficient and accountable.They also believe it will reduce errors and improve revenue collection in the long term.
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