IMF briefed on FBR restructuring plan

The Government of Pakistan has assured the International Monetary Fund that it will restructure the Federal Board of Revenue to boost tax collection, reported 24NewsHD TV channel on Friday.

The government’s economic team is currently holding talks with the IMF review Mission led by its Chief Mr Nathan Porter. The two sides would conclude their technical-level discussions on Friday that involve an exchange of the latest data, not only limited to the end-September quarterly performance, and queries and clarifications on all macroeconomic areas and their futuristic outcomes.

The formal policy-level talks are expected to begin on Monday. However, both sides have agreed to expand the scope of taxation on the retail sector and real estate-based revenue collection in case of any possible shortfall in tax collection target.

Sources said that during today’s negotiations, Pakistan briefed the IMF about reforms in the FBR.

The global money lender was told that important changes would be brought in the structure of the FBR.

Sources in the Ministry of Finance informed that a Task Force is working to introduce reforms in the revenue board. Besides this, a Policy Division will also be established.

Sources divulged that the policy and the operational affairs of the FBR would be separated.

Sources also informed that government has set a revenue collection target of Rs9,415 billion for the current fiscal year.

Reporter Waqas Azeem